If an Issuer Sells a Bond at Any Other Date

Multiple Choice

If an issuer sells a bond at any other date than the interest payment date:

A) This means the bond sells at a premium.
B) This means the bond sells at a discount.
C) The issuing company will report a loss on the sale of the bond.
D) The issuing company will report a gain on the sale of the bond.
E) The buyer normally pays the issuer the purchase price plus any interest accrued since the last interest payment date.