Here is the bond problem: Acme Incorporated issued bonds with a face (par) value of $1 Million dollar on Jan 1, 2021. The bonds had a stated interest rate of 8%, payable semi-annually for 6 years. The market interest rates at the issuance date are 10%.

a. Why you know it's a discount.

b. How to calculate the semi-annual interest payments.

c. How to find the dollar amount that is collected when the bonds are issued.