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Please tell me if this is correct Q1. A ten year, 8 percent, $1,000 bond is issued at 96. a.How much did this bond sell
Please tell me if this is correct
Q1. A ten year, 8 percent, $1,000 bond is issued at 96.
a.How much did this bond sell for?
The bond sold for $960
b.Was the market rate of interest greater or less than 8%?
Circle the correct answer. Greater or Less
GREATER
c.What is the total amount of interest paid over the life of this bond?
The total amount of interest paid over the life of the bond = __$800_
d.What is the total amount of interest expense recorded on this bond?
The total amount of interest expense recorded on this bond = __$80_
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