Question: A 1 5 - year bond with a face value of $ 1 , 0 0 0 currently sells for $ 8 5 0 .

A 15-year bond with a face value of $1,000 currently sells for $850.
Which of the following statements is CORRECT?
The bond sells at a premium.
The bond's coupon rate is lower than its yield to maturity.
The bond's coupon rate is equal to its yield to maturity.
The bond cannot sell in the market because of the low price.
The bond's coupon rate exceeds its yield to maturity.

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