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Your corporation is considering three bond issues. Which issuance would lead to interest expense on the income statement to be greater than the coupon payment?
Your corporation is considering three bond issues. Which issuance would lead to interest expense on the income statement to be greater than the coupon payment? 5-year 4% bonds issued at $970 per bond. 5-year 4% bonds issued at $1,070 per bond. Interest expense will never equal the coupon payment. Interest expense will always equal the coupon payment. 5-year 4% bonds issued at $1,000 per bond
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