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Bonds and Market Price

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Which of the following is (are) a true statement(s) pertaining to bonds?
a) bonds can be sold at a discount, par or payable
b) bonds can be sold at a discount, par, or premium
c) The SEC sets the market price of a bond
d) The issuing firm sets the price of a bond
e) None of the above

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Solution Summary

The attached file contains detailed answers to true or false statements in regards to the subject of bond issuances.

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The correct answer is b) bonds can be sold at a discount, par, or premium. Bond price is determined by the market yield and its own coupon ...

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