Question: Bonds are a common long - term debt instrument. They are interesting because they are issued with a state interest rate. Unlike the market interest

Bonds are a common long

-

term debt instrument. They are interesting because they are issued with a state interest rate. Unlike the market interest rates. A bond stated interest rate will never change. The stated interest rate is what will be paid to the investor over the bonds life. this means that the only way to manipulate the total amount earned or paid from bonds is by adjusting the selling pricePlease respond to the following. What does it mean when a bond is issued at a premium or a discount how does the insurance cost affect the investors earnings from the bond purchase? How is the company recognized interest expense affected?

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