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Define the following three types of bond issuances? Discount Premium Par On July 1, 2012 Poppin Kernels issues $500,000 three year bonds with a coupon
Define the following three types of bond issuances?
Discount
Premium
Par
| On July 1, 2012 Poppin Kernels issues $500,000 three year bonds with a coupon of 4%. | |
| At the time of sale the effective Interest is 2%. Interest is to be paid semi annually | |
| What type of bond is it? | |
| What is the present value ($) of the bond? | |
| Principal |
| Coupon |
| Real Interest rate |
| Term |
| Interest Payment Semi Annually |
| Interest amount |
| Present Value interest |
| Present Value Principal |
| * Total Present Value of Bond |
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Auditing A Practical Approach
Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton, Valerie Warren
1st Extended Canadian Edition
1118878418, 9781118878415
