Question: It's not 10230.25 Problem #3: There is a bond on a company's books with an original term of 10 years that was purchased for a

It's not 10230.25 Problem #3: There is a bond on a company's It's not 10230.25

Problem #3: There is a bond on a company's books with an original term of 10 years that was purchased for a premium at its issuance, just over 2 years ago. The bond pays semi-annual interest. With the receipt of the latest coupon, the corresponding amount for amortization of the premium was $383.56. Exactly one year ago, the amount for amortization of the premium was $353.94. Based on the relation between subsequent amounts for amortization of the principal, what was the original value of the premium? Problem #3: Answer correct to 2 decimals

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