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A bond pays a coupon of 5.75% per year and the bonds current yield is 5.54% per year. Therefore, the bond is trading at a

A bond pays a coupon of 5.75% per year and the bonds current yield is 5.54% per year. Therefore, the bond is trading at a ____ to its par value. If the bonds yield to maturity does not change, the bonds price will be ____ next year.

Question 6 options:

A)	Premium, the same

B)	Discount, higher

C)	Discount, lower

D)	Premium, higher

E)	Premium, lower

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