When the market interest rate rises, what happens to bond prices? They fall They stay the same They rise Cannot be determined Question 2 1 pts A bond discount occurs when: The price of a bond is above its maturity value The price of the bond is equal to a bond's face value. The price of a bond is above its face value. The price of a bond is below its face value Question 3 1 pts When a bond sells for a premium. The price is above the face value The price is below the maturity value: The price is below the face value The price is equal to the face value A bond has a face value of $100,000 and a price of $97,000. The journal entry at the date of issuance would include: A credit to Bond Premium of 3,000 A debit to Bond Discount of 97,000 A debit to Bond Discount of 3,000 A credit to Bond Discount of 3,000 Question 5 1 pts A bond has a face value of $100,000 and a price of $102,000. The journal entry would includes A credit to Bond Premium of 2,000 A credit to Bond Discount of 2,000 A debit to Bond Discount of 2,000 A debit to Bond Premium of 2.000