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Show all calculations: On January 1, 2023, JP Business Associate issued $700,000 of 12% bond dated January 1 interest of $42,000 is payable semiannually on

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Show all calculations: On January 1, 2023, JP Business Associate issued $700,000 of 12% bond dated January 1 interest of $42,000 is payable semiannually on June 30 and December 31 . The bond matures in three years. The market yield for bond of similar risk and maturity is 14%. The entire bond issue was purchased by BUS 434 students. a) What price do students in BUS 434 pay for the bond. b) Is this bond a discount, premium bond or par value bond? Justify your answer. c) What is the effective rate of this bond

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