16. S lrounded to nearest dollar) A ten year bond issue with a face amount of $100,000 bears interest at the rate of 5.0%. The current market rate of interest is 4.90%. Determine the issue price of this annual bond. 17. Bond X and Bond Yare both issued by the same company. Each of the bonds has a face value of $100,000 and each matures in 30 years. Bond Xpays 8 interest while Bond Ypays 7 interest. The current market rate of interest is 7. Which of the following is correct? Both bonds will sell for the same amount b. Bond X will sell for more than Bond Y. Bond Y will sell for more than Bond X d. Both bonds will sell at a premium 18. Given the information below, which bond(s) will be issued at a discount? Bond Bond 2 Bond Bond Stated Rate of Return SN 7% 12 10% Market Rate of Return 2X ON 125 BO Company issues 6, 10 year bonds with a face amount of $1,000,000 on January 1, 20A for $1,000,000. Interest is paid semiannually on June 10 and December 31. What was the market interest rate for the bond issuance? 19 16. $ _(rounded to nearest dollar) A ten year bond issue with a face amount of $100,000 bears interest at the rate of 5.0%. The current market rate of interest is 4.90%. Determine the issue price of this annual bond. 17. Bond X and Bond Y are both issued by the same company. Each of the bonds has a face value of $100,000 and each matures in 10 years. Bond X pays 8% interest while Bond y pays 7% interest. The current market rate of interest is 7%. Which of the following is correct? a. Both bonds will sell for the same amount b. Bond X will sell for more than Bond Y. c. Bond y will sell for more than Bond X d. Both bonds will sell at a premium. 18. Given the information below, which bond(s) will be issued at a discount? Stated Rate of Return Market Rate of Return Bond 1 5% 7% Bond 2 7% 896 Bond 3 12% 1296 Bond 4 10% 9% 19. % BD Company issues 6%, 10-year bonds with a face amount of $1,000,000 on January 1, 20A for $1,000,000. Interest is paid semiannually on June 30 and December 31. What was the market interest rate for the bond issuance