Question: What happens when you decrease the discount rate used in discounting the bond's expected cash flows to a rate lower than the bond's coupon rate?

What happens when you decrease the discount rate used in discounting the bond's expected cash flows to a rate lower than the bond's coupon rate? A:The price of the bond increases. B: The coupon rate of the bond increases. C:The par value of the bond decreases. D: The coupon payments decrease.

What happens when you decrease the discount rate used in discounting the bond's expected cash flows to a rate lower than the bond's coupon rate? The price of the bond increases. The coupon rate of the bond increases. The par value of the bond decreases. The coupon payments decrease

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