If the Market Interest Rate Is Lower Than the Face

question 167

Multiple Choice

If the market interest rate is lower than the face interest rate at the date of issuance,bonds will

• A)not sell until the face interest rate is adjusted.
• B)sell at face value.
• C)sell at a discount.
• D)sell at a premium.

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Definitions:

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A ordained minister in the Catholic Church who has the authority to conduct religious ceremonies and deliver sacraments.

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The branch of Christianity headed by the pope, characterized by its structure and liturgy and known as the largest Christian church.