A bond is issued at discount when a bond's stated interest rate is ________.

Name: A bond is issued at discount when a bond's stated interest rate is ________.
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A bond is issued at a discount when its stated interest rate is less than the market interest rate. This means that investors are not willing to pay the full face value of the bond because they can get a better return on their investment elsewhere. As a result, the bond is sold for less than its face value, which is known as a discount.

A Bond Is Issued at Discount When a Bond's Stated