The Cases Company Issues $800,000 of 7%,10-Year Bonds on March

question 108

Multiple Choice

The Cases Company issues $800,000 of 7%,10-year bonds on March 31,2013.The bond pays interest on March 31 and September 30.Which of the following statements is TRUE?

• A) If the market rate of interest is 8%, the bonds will issue at a premium.
• B) If the market rate of interest is 8%, the bonds will issue at a discount.
• C) If the market rate of interest is 8%, the bonds will issue at par.
• D) If the market rate of interest is 8%, the bonds will issue above par.

---

Definitions:

Annual Bonuses

Monetary rewards given to employees once a year, often based on company performance, profitability, or individual contribution.

Legislative Framework

A structured and codified set of laws and regulations that govern practices and behaviors within specific domains or territories.

Special Employee Groups

Categories of employees identified based on certain characteristics or criteria, which may require unique HR strategies or policies.

Contingent Employees

Workers who are hired on a temporary basis or whose job status is based on specific conditions rather than permanent employment.