Which One of the Following Statements Is True About a $1,000

question 43

Multiple Choice

Which one of the following statements is true about a $1,000, 6% annual coupon bond that is selling for $1,012?

• A) The current yield is 6%.
• B) The yield- to- maturity is greater than 6%.
• C) The yield- to- maturity is 6%.
• D) The current yield is less than 6%.

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