On September 30, 2013, the San Fillipo Corporation issued 8% stated rate bonds with a face amount

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On September 30, 2013, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of $300 million. The bonds mature on September 30, 2033 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30.


Required:

Determine the price of the bonds on September 30, 2013.


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...
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Intermediate accounting

ISBN: 978-0077647094

7th edition

Authors: J. David Spiceland, James Sepe, Mark Nelson

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