If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amo...

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If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amount less t

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Answer 1

Answer #1

When Market interest rate is less than stated rate of interest then bond issue price is higher than bond face value it means bond is issued at premium

So answer is c) Greater than face value

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Answer 2

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If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amo...

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If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amo...

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Add Answer to: If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amo...

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If the market rate of interest is 10%, a $11500, 11%, 10-year bond that pays interest annually would sell at an amo...