14-11

Sheffield Inc. has issued three types of debt on January 1, 2017, the start of the companys fiscal year.

(a)$11million,9-year,14% unsecured bonds, interest payable quarterly. Bonds were priced to yield10%.(b)$25million par of9-year, zero-coupon bonds at a price to yield10% per year.(c)$19million,9-year,9% mortgage bonds, interest payable annually to yield10%.

Prepare a schedule that identifies the following items for each bond: (1) maturity value, (2) number of interest periods over life of bond, (3) stated rate per each interest period, (4) effective-interest rate per each interest period, (5) payment amount per period, and (6) present value of bonds at date of issue.(Round stated and effective rate per period to 2 decimal places, e.g. 10.25%. Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to 0 decimal places e.g. 58,971.)

Unsecured

Bonds

Zero-Coupon

Bonds

Mortgage

Bonds

(1)Maturity value$

$

$

(2)Number of interest periods

(3)Stated rate per period

%

%(4)Effective rate per period

%

%

%(5)Payment amount per period$

$

$

(6)Present value$

$

$