When the market’s required rate of return for a particular bond is much less than its coupon rate, the bond is selling at:
A. Premium
B. Discount
C. Par
D. Cannot be determined without more information
Answer:A
When the market’s required rate of return for a particular bond is much less than its coupon rate, the bond is selling at:
A. Premium B. Discount C. Par D. Cannot be determined without more information