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Please help with this financial accounting question. Need ASAP. Social Nearing Social Hugging Corp (SNSHC) issues a bond with the following characteristics: 100,000 face value
Please help with this financial accounting question. Need ASAP.
Social Nearing Social Hugging Corp ("SNSHC") issues a bond with the following characteristics: 100,000 face value 10% coupon interest rate 3 year maturity date and here's an excerpt of the present value tables: present value of $1 lump sum 8% 10% 12% 0.9259 0.9090 0.8928 0.8573 0.8264 0.7971 0.7938 0.7513 0.7117 The bond market prices the bond using an 12% market interest rate. How much cash does SNSHC receive when this bond is issued? (Round to the nearest dollar. Do not input pennies.) This bond is sold at: a Adiscount b At par C A premium d Its face valueStep by Step Solution
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