Question: Hoops Incorporated issues 9 % , 2 0 - year bonds with a par value of $ 1 , 0 0 0 , 0 0

Hoops Incorporated issues 9%,20-year bonds with a par value of $1,000,000 and semiannual interest payments. If the market rate for bonds is 10% at the time of issuance, then the bonds are issued at a premium. True or False?

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