15. A Treasury bond has an 8 percent annual coupon and a yield to maturity equal to 7.5 percent. Which of the following statements is most correct? a. The bond has a current yield greater than 8 percent. b. The bond sells at a price above par. c. If the yield to maturity remains constant, the price of the bond is expected to fall over time. d. Statements b and c are correct. e. All of the statements above are correct.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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15. A Treasury bond has an 8 percent annual coupon and a yield to maturity
equal to 7.5 percent. Which of the following statements is most correct?
a. The bond has a current yield greater than 8 percent.
b. The bond sells at a price above par.
c. If the yield to maturity remains constant, the price of the bond is
expected to fall over time.
d. Statements b and c are correct.
e. All of the statements above are correct.

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