If the stated, or coupon, rate of a bond is higher (lower) than the effective, or market, rate on the date of issue, the bonds sell at a premium (discount).Answer (A) is incorrect because When the stated (coupon) rate is less than the effective rate, a bond sells at a discount...
A. below the coupon rate when the bond sells at a discount, and above the coupon rate when the bond sells at a premium B. the discount rate that set the present value of the payments equal to the bond price C. the current yield plus the average annual capital gain rate D. based ...
百度试题 题目A bond will sell ( )if the required rate of return is greater than the couponrate. A. at a discount B. at par value C. at a premium D. none of above 相关知识点: 试题来源: 解析 A null 反馈 收藏
单项选择题 All else constant, a bond will sell at ___ when the coupon rate is ___ the yield to maturity. ( ) A. a premium; less than B. a premium; equal to C. a discount; less than D. a discount; higher than 单项选择
Define government bond. government bond synonyms, government bond pronunciation, government bond translation, English dictionary definition of government bond. Noun 1. government bond - a bond that is an IOU of the United States Treasury; considered the
60.?You can be sure that a bond will sell at a premium to par when ___.? A.?its coupon rate is greater than its yield to maturity B.?its coupon rate is less than its yield to maturity C.?its coupon rate equal to its yield to maturity D.?its coupon rate is less than its ...
BondssellatPremium Contractrate=Marketrate BondssellatPar Contractrate<Marketrate BondssellatDiscount IssuingBondsAtPar AcompanyisauthorizedtoissuethefollowingbondsonJanuary1,2009:ParValue=$800,000StatedInterestRate=9%InterestDates=6/30and12/31BondDate=Jan.1,2009MaturityDate=Dec.31,2028(20years)DR800,...
Answer to: If the yield-to-maturity of a bond is less than the coupon rate, the bond will sell at: a. a discount b. a premium c. par value d...
Bonds that are more widely traded will be more valuable than bonds that are sparsely traded. Intuitively, an investor will be wary of purchasing a bond that would be harder to sell afterward. This drives prices of illiquid bonds down.
The inverse relationship between market interest rates and bond prices holds true under falling interest-rate environments as well. The originally issued bond would sell at apremiumabove par value because thecouponpayments associated with this bond would be greater than the coupon payments offered on ...