Answered: A P1,000,000 bond issue of 3%, 15 years…

A P1,000,000 bond issue of 3%, 15 years maturity year was sold at 95% of the value. What is the rate of interest of this investment?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 19MC: Gingko Inc. issued bonds with a face value of $100,000, a rate of 7%, and a 10-yearterm for...

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A P1,000,000 bond issue of 3%, 15 years maturity year was sold at 95% of the value. What is the rate of interest of this investment?

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