On October 1, 2010, a Calendar Year-End Company Issued a $100,000

Multiple Choice

On October 1, 2010, a calendar year-end company issued a $100,000, 10-year, 12% bond payable. The market rate of interest at that time was 10%. Interest is paid semi-annually. The following present value factors may be necessary:

The issue price of the bond on October 1, 2010, was

A) $ 75,840.
B) $ 99,820.
C) $100,300
D) $112,760.
E) $113,760.