Two of the main factors in determining the price at which bonds will sell are

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The stated rate, also known as the coupon rate, is the interest rate that is printed on the bond certificate and is used to calculate the regular interest payments that the bondholder will receive. The market rate is the current interest rate that is being offered on similar bonds in the market. If the stated rate is higher than the market rate, the bond will be sold at a premium. If the stated rate is lower than the market rate, the bond will be sold at a discount. Therefore, the stated rate and the market rate are the two main factors in determining the price at which bonds will sell.

Two of the Main Factors in Determining the Price at Which