Bonds are issued at a discount when the:
A)proceeds from the issuance of the bonds are smaller than the face value of the bonds
B)market rate of interest is higher than the face rate of interest on the bonds
C)face rate of interest on the bonds is equal to the market rate of interest
D)both a and b are correct

Question

Quizplus · Accepted Answer

The Answer of Bonds are issued at a discount when the:
A)proceeds from the issuance of the bonds are smaller than the face value of the bonds
B)market rate of interest is higher than the face rate of interest on the bonds
C)face rate of interest on the bonds is equal to the market rate of interest
D)both a and b are correct

Bonds Are Issued at a Discount When The