Question: A $ 1 , 0 0 0 bond trading at 1 0 2 ( 1 ) / ( 2 ) means that: Multiple Choice The

A $1,000 bond trading at 102(1)/(2) means that:
Multiple Choice
The market rate of interest is 2.5%.
The bonds were retired at $1,025 each.
The market rate of interest is 2(1)/(2)% above the contract rate.
The bond traded is bought or sold for $1,025.
The bond pays 2.5% interest.

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