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Associate interpretation of premium bonds

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Reference no: EM131486975

Question :

Your business associate mentions that she is considering investing in corporate bonds currently selling at a premium. She says that since the bonds are selling at a premium, they are highly valued and her investment will yield more than the going rate of return for the risk involved. Reply with the memorandum to confirm or correct your associate's interpretation of premium bonds.

Reference no: EM131486975

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