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1. Your Company issued a $100,000 face value bond on January 1, 2013. The 10 year term bond was issued at 97 and had a
1. Your Company issued a $100,000 face value bond on January 1, 2013. The 10 year term bond was issued at 97 and had a 2% stated rate of interest that is payable on December 31st of each year. How much cash do the bond holders get at the end of year one?
2. Your Company issued a $100,000 face value bond on January 1, 2013. The 10 year term bond was issued at 97 and had a 2% stated rate of interest that is payable on December 31st of each year. What is the interest expense for year one?
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