On January 1,2011,Bondz,Inc.issued $1,000,000 of 5%,10-year bonds when the market rate of interest was 6%.The bonds pay interest annually on December 31.To calculate the amount of cash that Bondz received,you must use a discount rate of ________.
A) 20%
B) 6%
C) 5%
D) The answer cannot be determined from the information given.
Correct Answer:
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