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Selling bonds at a premium has the effect of a. raising the effective inerest rate above the stated interest rate. b. attracting investors that are
Selling bonds at a premium has the effect of
a. | raising the effective inerest rate above the stated interest rate. | |
b. | attracting investors that are willing to pay a lower rate of interest than on similar bonds. | |
c. | causing the interest expense to be higher than the bond interest paid. | |
d. | causing the interest expense to be lower than the bond interest paid. | |
e. | none of the above |
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