Which of the following statements is correct? A. If market rates do not change, the price of
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Question:
Which of the following statements is correct?
A. If market rates do not change, the price of a bond selling at a premium increases over time
B. If interest rates are greater than zero, it is possible for a zero-coupon bond to sell at a premium (i.e. for more than par value)
C. If a bond's yield to maturity is greater than its coupon rate, the bond will sell at a premium
D. If market rates do not change, the price of a bond selling at a discount increases over time
E. All of the above statements are false
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