Consider a two-year coupon bond that has a present value of $10,000. If the annual rate of discount is 3 percent, and the payment made at the end of each year is $250, the principal amount to be repaid at the end of two years is
A. $10,101.50.
B. $10,300.00.
C. $13,333.33.
D. $13,583.33.
Answer: A
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