Bonds sold at a value above par are sold at a _, and bonds sold at a value below par are sold at a .

Name: Bonds sold at a value above par are sold at a _, and bonds sold at a value below par are sold at a .
Brand: Quizplus
Rating: 4.8 (49 reviews)

Question

Quizplus · Accepted Answer

Bonds sold above their par value are sold at a premium because the market interest rate is lower than the bond's coupon rate. Conversely, bonds sold below their par value are sold at a discount because the market interest rate is higher than the bond's coupon rate.

Bonds Sold at a Value Above Par Are Sold at a _