Question: 16 (5 points) A long-term bond has a face value of $100,000 to be repaid in one year, and it has an interest payment of

16 (5 points) A long-term bond has a face value of

16 (5 points) A long-term bond has a face value of $100,000 to be repaid in one year, and it has an interest payment of $10,000 to be paid in one year. If the applicable discount rate is 2%, the present value of the bond is A) $98,039.22 B) $100,000.00 C) $107,843.14 D) $112,000.00 E) none of the above

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