As of January 29, 2012, Home Depot had an outstanding fixed rate bond

As of January 29, 2012, Home Depot had an outstanding fixed rate bond issue with a 5.875% coupon rate that was priced such that the before-tax yield to maturity was 4.67%.

From this information we can conclude that the current price of the bond was less than the bond’s face value.
Indicate whether the statement is true or false

ANSWER

FALSE