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Zerox issues 400, $1,000 bonds at a stated rate of 6%. The bonds will mature in 3 years, and interest is paid semi-annually. The market
Zerox issues 400, $1,000 bonds at a stated rate of 6%. The bonds will mature in 3 years, and interest is paid semi-annually. The market rate of interest on the day of issuance is 5%.
How much cash does the company pay to the bondholders over the life of the bond? (This includes issuance, interest, and maturity.) Round to the nearest whole dollar.
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