Question: A bond's current yield is 5 . 7 5 % per year and the bond's yield to maturity is 5 . 1 4 % per

A bond's current yield is 5.75% per year and the bond's yield to maturity is 5.14% per year. Therefore, the bond is trading at a q, to its par value. If the bond's yield to maturity does not change, the bond's price will be q, next year.
Dircount, higher
Premium, the same
Premium, higher
Discount, lower
Premium, lower
A bond's current yield is 5 . 7 5 % per year and

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