What is meant by the terms premium and discount when referring to the price of a bond?

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What is meant by the terms “premium” and “discount” when referring to the price of a bond?

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Personal Finance Turning Money into Wealth

ISBN: 978-0133856439

7th edition

Authors: Arthur J. Keown

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Question Posted: Jan 13, 2016 01:48 AM

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What is meant by the terms premium and discount when referring to the price of a bond?

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When a bond is selling for a premium to its par value it means that the bond is selling for more t...View the full answer

Personal Finance Turning Money into Wealth

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