The Sachem Berhad issued a 6% bond three years ago a par value. The market interest rate on comparable bonds today is 5%. The Sachem Berhad Company bond currently pays _______ a year in interest and the bond sells at a ______

The Sachem Berhad issued a 6% bond three years ago a par value. The market interest rate on comparable bonds today is 5%. The Sachem Berhad Company bond currently pays _______ a year in interest and the bond sells at a ______

The Sachem Berhad issued a 6% bond three years ago a par value. The market interest rate on comparable bonds today is 5%. The Sachem Berhad Company bond currently pays _______ a year in interest and the bond sells at a ______



A) $60; discount
B) $60; premium
C) $50; discount
D) $50; premium

Answer: B