A bond traded at 9712 means that: a. The bond pays 9712% interest. b. The bond trades

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A bond traded at 971⁄2 means that:

a. The bond pays 971⁄2% interest.

b. The bond trades at $975 per $1,000 bond.

c. The market rate of interest is below the contract rate of interest for the bond.

d. The bonds can be retired at $975 each.

e. The bond’s interest rate is 21⁄2%.

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Financial Accounting Information For Decisions

ISBN: 9780073043753

4th Edition

Authors: John J. Wild

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Question Posted: Jul 20, 2024 07:02 AM

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A bond traded at 9712 means that: a. The bond pays 9712% interest. b. The bond trades

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Financial Accounting Information For Decisions

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