Simply Purchases a $100,000 Face Value Bond Which Matures in Two

question 99

Multiple Choice

Simply purchases a $100,000 face value bond which matures in two years. The coupon rate is 6% and the market rate is 5%. How much premium or discount will be amortized in the first year, if any?

• A)$0.00
• B)$907.05
• C)$5,092.95
• D)$1,859.00

---

Definitions:

Selection Strategy

The approach and methodology used by organizations to identify, evaluate, and choose the most suitable candidates for job positions.

Medical or Drug Testing

Procedures employed to detect drugs in a person's system or to assess their overall health condition, often required by employers.

Hiring Decision

The final choice made by an employer or recruiters about who to employ for a vacant position, typically following a rigorous selection process.

Assessment Centres

A series of evaluations and exercises designed to assess candidate suitability for specific roles or promotions, often involving simulations of real work challenges.