(i) A debt instrument issued at par has an original maturity of ten years and provides for the payment of $100,000 at maturity with interest payments at the rate of 10 percent payable at the end of each year. At the end of the fifth year, and after the annual payment of interest, the issuer and holder agree to reduce the amount payable at Believe it or not, you are now equipped to calculate the price of any debt instrument A bond, IOU, or other contract (like a discount bond, simple loan, fixed payment loan, or coupon bond) promising the payment of money in the future. or contract provided you know the rate of interest, compounding period, and the size and timing of the payments.Four major types of instruments that you are