Gloria Company issued $200,000 of 10-year bonds on January 1. The bonds pay interest on January 1

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Gloria Company issued $200,000 of 10-year bonds on January 1. The bonds pay interest on January 1 and July 1 and have a coupon rate of 10 percent. If the market rate of interest at the time the bonds are sold is 8 percent, what will be the

issuance price of the bonds (rounded to the nearest dollar)?

A) $175,078

B) $211,283

C) $215,902

D) $227,181

Related Book For answer-question

Contemporary Financial Management

ISBN: 9780324289114

10th Edition

Authors: James R Mcguigan, R Charles Moyer, William J Kretlow

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Posted Date: Jan 13, 2024 07:54 AM

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Gloria Company issued $200,000 of 10-year bonds on January 1. The bonds pay interest on January 1

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Contemporary Financial Management

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