Question: 14. Chapter MC, Section .07, Problem 050 A Treasury bond has an 8% annual coupon and a 7.5% yield to maturity. Which of the following

14. Chapter MC, Section .07, Problem 050 A Treasury bond has an 8% annual coupon and a 7.5% yield to maturity. Which of the following statements is CORRECT? a. The bond sells at a price below par. b. The bond sells at a discount. c. The bond's required rate of return is less than 7.5%. d. If the yield to maturity remains constant, the price of the bond will decline over time. e. The bond has a current yield greater than 8%

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