Which of the following is true for bonds issued at a discount?
A) The stated interest rate is greater than the market interest rate.
B) The market interest rate is greater than the stated interest rate.
C) The stated interest rate and the market interest rate are equal.
D) The stated interest rate and the market interest rate are unrelated.
Answer: B
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.