Two Years Ago Bonds Were Issued at Par with 10

question 101

Multiple Choice

Two years ago bonds were issued at par with 10 years until maturity and a 7% annual coupon.If interest rates for that grade of bond are currently 8.25%,what will be the market price of these bonds?

• A) $917.06
• B) $928.84
• C) $987.50
• D) $1,000.00

---

Definitions:

Unethical Behaviour

Actions that deviate from accepted moral norms or standards, often causing harm or disadvantage to others in a business context.

Stock Markets

Platforms where stocks (shares of ownership in companies) and other securities are bought and sold by investors.

Stakeholder

Anyone who potentially has a claim on a firm.

Stock Ownership

Holding shares in a company, which represent a portion of the company's capital and give certain rights to the shareholder.