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To calculate the total cost of borrowing for a bond issued at a discount, a company O multiplies the discount amount by the contractual interest
To calculate the total cost of borrowing for a bond issued at a discount, a company O multiplies the discount amount by the contractual interest rate. O multiplies the face value of the bond by the market interest rate. subtracts the discount amount from the total of the periodic interest payments. O adds all the periodic interest payments and the discount amount
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Bond Markets Analysis And Strategies
Authors: Frank J. Fabozzi, Francesco A. Fabozzi
10th Edition
026204627X, 978-0253337535
