When coupon rates exceed market rates bonds will sell at a


Which of the following is most correct? Select one: a. When coupon rates exceed market rates, bonds will sell at a premium. b. When market rates exceed coupon rates, bonds will sell at a premium. c. When coupon rates exceed market rates, bonds could sell at either a premium or a discount. d. Bonds will always sell at par when the coupon rate equals the market rate. e. Both a. and d. are correct.

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Financial Management: When coupon rates exceed market rates bonds will sell at a
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