Your friend Jamarcus is an award-winning chef.Jamarcus wants to start his own restaurant in Denver but is unable to obtain a loan from his local bank.Jamarcus has decided to issue a one-year bond with a par value of $6,000 and an interest rate of 10%.If you wanted to buy this bond,what would be the initial price?
A) $6,600.00.
B) $5,500.50.
C) $6,000.00.
D) $5,000.00.
E) $5,454.54.
Correct Answer:
Verified
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