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A student asks: If a discount bond has a face value of $1,000, I don't understand why anyone who owns the bond would sell it
A student asks: "If a discount bond has a face value of $1,000, I don't understand why anyone who owns the bond would sell it for less than $1,000. After all, if the owner holds the bond to maturity, the owner knows he or she will receive $1,000, so why sell for less?" Answer the student's question.
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