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If GE issues a corporate bond for $100,000,000 with a coupon of 4% and at the time of issuance the market rate is also 2%.

If GE issues a corporate bond for $100,000,000 with a coupon of 4% and at the time of issuance the market rate is also 2%. The bond is a 5-year bond with interest paid semi-annually. Complete your answers below:

What is the present value of the bond?

What are the interest payments?

What is the bond issued at? Premium, Discount or Par

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