$12$A$.$ On December $31,2025,$ when the market interest rate is $14\%,$ Arnold Corporation issues $$150,000$ of $12\%,4-$year

bonds payable. The bonds pay interest semiannually. Determine the present value of the bonds at issuance.

View the Present Value of $$1$ table.

View the Present Value of Ordinary Annuity of $$1$ table.

View the Future Value of $$1$ table.

View the Future Value of Ordinary Annuity of $$1$ table.

Start by calculating the present value of the principal. $($Enter factor amounts to three decimal places,

X$.$XXX$.)$

Now calculate the present value of the stated interest. $($Enter factor amounts to three decimal places,

X$.$XXX$.)$

Finally, calculate the present value of bonds payable.