Determine the bond issue proceeds for each of the bonds payable below All bonds are issued on January 1, 2016 a Solmark Corporation issued bonds in the amount of $ 150,000 that will be paid in five years Interest of $ 15,000 is payable annually each December 31 with the first interest payment at th...

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Determine the bond issue proceeds for each of the bonds payable below. All bonds are issued on

Question:

Determine the bond issue proceeds for each of the bonds payable below. All bonds are issued on January 1, 2016.
a. Solmark issued bonds in the amount of $ 150,000 that will be paid in five years. Interest of $ 15,000 is payable annually each December 31 with the first interest payment at the end of the year on December 31, 2016. If the market rate of interest is 8%, what is the amount of the bond issue proceeds?
b. Meltech issued bonds in the amount of $ 800,000 that will be paid in 10 years. Interest of $ 24,000 is payable semiannually each June 30 and December 31 with the first interest payment at the end of the period on June 30, 2016. If the market rate of interest is 8%, what is the amount of the bond issue proceeds? Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...