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Question 26 (1 point) Bond prices and current interest rates are 3 related? Inversely 6 Directly Slightly 9 -- Positively None of these 12 Question

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Question 26 (1 point) Bond prices and current interest rates are 3 related? Inversely 6 Directly Slightly 9 -- Positively None of these 12 Question 27 (1 point) A bond is issued at $1,000 par value during a time in which interest rates for similar bonds were 8%. Today new bonds issued with a similar credit worthiness is 10%. Which of the following is most likely to be true about the bond? 15 1 18 It is currently selling for a premium It is currently selling for a discount a Currently selling at par 21 The bond is likely to be called None of these. 24

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