What is the selling premium or discount on the bonds
Problem
A $100,000 5 year 7% bond is issued on January 1st 2025 the bond pays interest annually. The market rate is 6%. What is the selling premium or discount on the bonds rounded to the nearest dollar?
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A $100,000 5 year 7% bond is issued on January 1st 2025 the bond pays interest annually. What is the selling premium or discount on the bonds?
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