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A bond selling below its par value is referred to as:
A) A discount bond
B) A premium bond
C) A callable bond
D) A convertible bond
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- A bond selling below its par value is referred to as:A) A discount bondB) A premium bondC) A callable bondD) A convertible bondA bond selling at a price above its face value is said to be selling at:A) ParB) A discountC) A premiumD) Fair valueexplainA bond selling at a price above its face value is said to be selling at:A) ParB) A discountC) A premiumD) Fair value
- A callable bond allows the person holding the bond to redeem it before its maturity date for the par value. a. true b. falseWhich of the following statements is CORRECT? a. A bond is likely to be called if it sells at a discount below par. b. A bond is likely to be called if it sells at a premium above par c. A bond is likely to be called if its market price is equal to its par value. d. A bond is likely to be called if its market price is below its par value.When a bond sells at a discount, the carrying value ________ after each amortization entry. A. increases B. decreases C. stays the same D. cannot be determined
- HelpWhat does the clean price of a bond represent? Multiple choice question. The bond's quoted price The bond's original issue price The bond's original issue price plus the accrued interest The bond's quoted price plus the accrued interest2. Term structure premium, an inflation of bond and bond default premium are included in A. risk factors B. premium factors C. bond buying factors D. multi model

