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A Company Issues 9% Bonds with a Par Value of $100,000

Question 179

Multiple Choice

A company issues 9% bonds with a par value of $100,000 at par on April 1.The bonds pay interest semi-annually on January 1 and July 1.The cash paid on July 1 to the bond holder(s) is:


A) $1,500.
B) $3,000.
C) $4,500.
D) $6,000.
E) $7,500.

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