BreannaMae449 BreannaMae449

23-05-2023
Business

contestada

A company issues a $100,000, 3-year bond on January 1, Year 1. The bond pays interest annually on 12/31 each year. The market rate is 4% and the coupon rate is 4%. What is the issue price of this bond? (Said another way, how much cash will the company receive from bondholders on January 1, Year 1?) Round to the nearest dollar.

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