Ask Question
29 March, 09:08

Your company issues bonds with a face value of $500,000. The stated rate is 4%, interest is paid semi - annually, and the bonds mature in 10 years. The bonds are issued with an effective yield of 4.125% The bonds are issued at a The bonds are sold for $500,000 How much is each semi-annual interest payment to bond holders

+1
Answers (1)
  1. 29 March, 09:17
    0
    The Bonds are issued at a Discount.

    The bonds are sold for less than $500000

    Semi annual interest payment to bond holder = (500000*2%) = 10000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Your company issues bonds with a face value of $500,000. The stated rate is 4%, interest is paid semi - annually, and the bonds mature in ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers