Question text If bonds are issued at 103, this means that: Select one: A. A $1,000...

Question

Question

Question text

If bonds are issued at 103, this means that:

Select one:

A. A $1,000 bond sold for $103.

B. The bond rate of interest is 10.3% of the market rate of interest.

C. The bonds sold at a discount.

D. A $2,000 bond sold for $2,060.00.

business accounting

Answer 1

Answer #1

Answer D. A $2,000 bond sold for $2,060.00.

Calculated as

it means a $100 will be sold for $103 and in the same way

Price of A $2000 will be = $2000 x 103/100 = $2060

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Answer 2

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