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A $500,000 Bond Issue Sold for $510,000.Therefore,the Bonds

Question 67

Multiple Choice

A $500,000 bond issue sold for $510,000.Therefore,the bonds:


A) Sold at a premium because the stated interest rate was higher than the market rate.
B) Sold for the $500,000 face amount plus $10,000 of accrued interest.
C) Sold at a discount because the stated interest rate of was higher than the market rate.
D) Sold at a premium because the market interest rate was higher than the stated rate.

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