Question
On January 1, year 1, ABC. Corp. issued bonds as follows: Face value $8000000 Stated (or coupon) annual rate of interest 5 % Coupon is
On January 1, year 1, ABC. Corp. issued bonds as follows:
Face value $8000000
Stated (or coupon) annual rate of interest 5 % Coupon is paid twice annually.
Market annual rate of interest 16 %
Term in years 3
How much did the bond sell for? Round your answer to the nearest dollar.
Answer:
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Health Care Finance Basic Tools For Nonfinancial Managers
Authors: Judith J. Baker, R.W. Baker
3rd Edition
076377894X, 978-0763778941
