Question: What is the 102 mean? Why the answer is B? 48, Philips Corporation issued (sold) $50,000,000 of its 10% bonds at par on January 1,

What is the 102 mean? Why the answer is B?

48, Philips Corporation issued (sold) $50,000,000 of its 10% bonds at par on January 1, 20D. On December 31,20D the bonds were trading on the bond exchange at 102. Since the issue date, the market rate of interest on similar risk bonds has A) Increased B) Decreased. C) Stayed the same D) None of the above is correct

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