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Please help me ASAP!!. An investor purchases a company's bond from two years ago with a lower coupon

rate than this year's bond. Why would the investor want to buy a lower-interest
bond in the secondary market?
A opportunity to negotiate a longer maturity
B opportunity to negotiate a higher par value to increase the yield
Copportunity to negotiate a higher yield from the other investor
D opportunity to negotiate a lower par value to offset the lower interest
rate

User Gomad
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1 Answer

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The answer is D) opportunity to negotiate a lower par value to offset the lower interest.
User Ieggel
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