At issue, coupon bonds typically sellA) above par value.B) below par value.C) at or near par value.D) at a value unrelated to par.E) None of the options are correct.

Question

At issue, coupon bonds typically sellA)  above par value.B)  below par value.C)  at or near par value.D)  at a value unrelated to par.E)  None of the options are correct.

Brandon Oladapo · Accepted Answer

Final Answer : C, Explanation :  Coupon bonds typically sell at or near par value, especially if they are issued in a stable interest rate environment. The coupon rate (the interest rate the bond pays) is usually set close to the prevailing market interest rates at the time of issuance, making the bond's selling price close to its par value.

At issue, coupon bonds typically sell

A) above par value.
B) below par value.
C) at or near par value.
D) at a value unrelated to par.
E) None of the options are correct.

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