What amount besides the interest payment would tyson repay

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Use the information provided for Tyson Construction Inc. to answer the following question(s) using the effective interest method.

On January 2, 2012, Tyson Construction Inc. issued $1,000,000, 10-year bonds for $1,135,915. The bonds pay interest on June 30 and December 31. The stated rate is 10% and the market rate is 8%.

Question 1: Refer to the information provided for Tyson Construction Inc. What amount besides the interest payment would Tyson repay its bondholders on the maturity date?

Select one:

Option a. $ 850,000

Option b. $1,150,000

Option c. $1,000,000

Option d. only the last interest payment

Reference no: EM132585382

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