Question: Aspen leaf is preparing a bond offering with a coupon rate of 5 . 5 % the bonds will be repaid in 1 0 years

Aspen leaf is preparing a bond offering with a coupon rate of 5.5% the bonds will be repaid in 10 years the company plants to issue the bond of par value and pay interest annually which one of the following statements is correct assume a face value of $1000 a at issuance the bond yield to maturity is 5.5% B the bonds will pay 20 equal coupon payments see the bonds will initially sell a discount D at maturity the bonds will pay a final payment of $1027.50 or the bonds will pay 19 interest payments in one principal payment

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