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A premium bond that pays $ 7 5 in interest annually matures in eight years. The bond was originally issued two years ago at par.
A premium bond that pays $ in interest annually matures in eight years. The bond was originally issued two years ago at par. Which one of the following statements is accurate in respect to this bond today?
Multiple Choice
The face value of the bond today is greater than it was when the bond was issued.
The yield to maturity equals the current yield.
The coupon rate is less than the current yield.
The bond is worth less today than when it was issued.
The yield to maturity is less than the coupon rate.
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Cross Selling Financial Services Professionals Guide To Account Development
Authors: Clifton Warren
1st Edition
1631578472,1631578480
