Question
1. if a bond is selling at 87, how much cash will the issuing company receive? if a 1,300 bond is selling at par, how
1. if a bond is selling at 87, how much cash will the issuing company receive? if a 1,300 bond is selling at par, how much cash will the issuing company receive? if a $1,300 bond is selling at 110, how much cash will the issuing company receive?
a.f a bond is selling at 87, how much cash will the issuing company receive?
b.if a 1,300 bond is selling at par, how much cash will the issuing company receive?
c .if a $1,300 bond is selling at 110, how much cash will the issuing company receive?
2. for each of the following situation, tell whether the bond described will be issued at a premium, at a discount, or a par
A. colson company issues $200,000 worth of bonds with a stated interest rate of 10%. At the issue, the market rate of interest for similar investment was 9%. The bond describe will be issued at?
B.Dean company issues $100,000 worth of callable bonds with a stated rate of 12%. At the issue, the market rate of interest for similar investment was 9%. The bond describe will be issued at?
c.liddy company issues $200,000 worth of bonds with a stated interest rate of 8%. At the issue, the market rate of interest for similar investment was 9%. The bond describe will be issued at?
3.for each of the following situations, compute the proceeds from the bond issue:
A. Happy's hair system issued $24, 000 worth of bonds at 110.
The proceeds for happy hair system are ? $
B. Even Egg company issued $190,000 worth of bonds at 97.
The proceeds for even egg company are? $
C. chatty's cutlery company issued 700,000 worth of bonds at 97.5
The proceeds for chatty's cutlery company are? $
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