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18. Your help is greatly appreciated. Multiple Choice. On January 1, 2019, Grumpy & Cranky Co. issues a corporate bond with face value $ 6
18. Your help is greatly appreciated.
Multiple Choice. On January 1, 2019, Grumpy & Cranky Co. issues a corporate bond with face value $ 6 million, nominal interest rate 6%, and maturity date on January 1, 2027. Interest is payable on each June 30th and December 31st. The bond is sold to yield 8%. In addition, Present value of 1 for 8 periods at 6% Present value of 1 for 8 periods at 8% Present value of 1 for 16 periods at 3% Present value of 1 for 16 periods at 4% - Present value of annuity for 8 periods at 6% . Present value of annuity for 8 periods at 8% Present value of annuity for 16 periods at 3% - Present value of annuity for 16 periods at 4% .627 .540 .623 .534 6.210 5.747 12.561 11.652 What is the total proceeds from the issuance? (Round your answer to the nearest dollar) A. $5,337,360 B.$ 5,997,600 @c. $5,308,920 D. $5,301,360
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