A bond with an annual coupon of $100 originally sold at par for $1,000. The current yield to maturity on this bond is 9%. Assuming no change in risk, this bond would sell at a _____________ in order to compensate ____________________________.

A.

discount; the seller for the above market coupon rate

B.

premium; the purchaser for the above market coupon rate

C.

premium; the seller for the above market coupon rate

D.

discount; the purchaser for the above market coupon rate

E.

discount; the issuer for the higher cost of borrowing