2) A 10 year, $100,000 zero coupon bond is priced to yield 10%. The amount the issuing company will receive when it is issued is: A. $ 4,240.50 B. $ 100,000 C. $ 38,550 D. $ 42,405 E. $ 385,000 3) If the above zero bond was sold on Jan 1 of 2002, the interest expense for 2003 (the second year) would be A. $ 4,240.50 B. $ 3,705.60 C. $ 10,000.00 D. E. $ 42,405.00 Some other number