A bond has an 8% annual coupon and a 7.5% yield to maturity. Which of the following statements is CORRECT? A) If the yield to
A bond has an 8% annual coupon and a 7.5% yield to maturity. Which of the following statements is CORRECT?
A) If the yield to maturity remains constant, the price of the bond will decline over time.
B) The bond sells at a price below par.
C) The bond sells at a discount.
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Authors: Mike E. Miles, Laurence M. Netherton, Adrienne Schmitz
5th Edition
0874203430, 978-0874203431
