Hanover Investments recently issued bonds with a face value of $1,000,000 and a coupon rate of 5% for 6 years. The market rate of interest is 4% and the bonds pay interest semi-annually. Compute the market value of the bond on the issue date.

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The Answer of Hanover Investments recently issued bonds with a face value of $1,000,000 and a coupon rate of 5% for 6 years. The market rate of interest is 4% and the bonds pay interest semi-annually. Compute the market value of the bond on the issue date.

Hanover Investments Recently Issued Bonds with a Face Value of $1,000,000