Fixed Income Q44

44A 1-year, semiannual-pay bond has a $1,000 face value and a 10% coupon. Which of the following statements is most accurate?

Option : B
Explanation : If coupon rate is equal to market discount rate, the bond is priced at par. If coupon rate is more than the market discount rate, the bond is priced at a premium. If coupon rate is less than the market discount rate, the bond is priced at discount.

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