When will bonds sell at a premium?

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When will bonds sell at a premium?

A) The state rate of interest is more than the market rate at the time of the issue
B) The credit standing of the issuing company is better than other companies in a similar line of business
C) The issuing company will be able to retire the bonds at more than face at maturity
D) The stated rate of interest is less than the market rate of interest at the time of issue

Answer: A

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