Use the present value and future value tables included in Appendix 8 and on the textbook companion website.
-If the effective interest rate equals the stated interest rate, a bond will sell at

Question

Use the present value and future value tables included in Appendix 8 and on the textbook companion website. 
-If the effective interest rate equals the stated interest rate, a bond will sell at

Quizplus · Accepted Answer

If the effective interest rate equals the stated interest rate, then the present value of the bond's future cash flows will be equal to the bond's face value. Therefore, the bond will sell at face value.

Use the Present Value and Future Value Tables Included in Appendix