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A company issued 10%, 10-year bonds with a face amount of $100 million. The market yield for bonds of similar risk and maturi
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Answer #1
Table value are based on:
n= 20
i= 2%
Cash Flow Amount Present Value
Interest 100000000*5% = 5000000 5000000*16.3514 = $81757000
Principal 100000000 100000000*0.6730 = 67300000
Price of Bonds $149057000
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