3. (25 points) Indian Company has decided to borrow from the bond market on January 1, 2019 a S1,000,000 ten year bond paying nominal or cash interest of 6% per year. The bond was issued to yield 4% per year. The bond pays t annually on December 31 a. Determine the amount of proceeds from the bond issue suing tables A-1 and A-2 in your text and record the issue of the bond on January 1, 2019. b. Record the first payment of interest on December 31, 2019 C. Assume the bond was issued to yield 8% per year. Determine the proceeds from the bond issue Present Value Tables App Table A-2 Present Value of Ordinary Annuity of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 20% 18% 0952 0943 0 935 0.926 0917 0.909 1.970 1942 1.913 1886 1.859 1833 1.808 1.783 1.759 0893 0877 0870 0862 0847 1.736 1.690 647 1626 1.605 1566 1.528 402 2.322 2 283 2246 2.174 2.106 3.387 3.312 3.2403.170 3.037 2.914 2 855 2.798 2.690 2.589 4 452 4.329 4212 4100 3.993 3.890 3.791 3.605 3.433 3352 3.274 3.127 2991 2941 2.884 2.829 2.775 2.723 2.673 2624 2.577 2.531 2.487 2 3.902 3.808 3.717 3630 3.546 3.465 4.853 4.713 4580 5.795 5601 5.417 5242 5076 4917 4767 4623 4486 43 6.728 6472 6230 6002 5 111 3889 3784 3685 3.498 3326 5.786 582 5389 5206 5.033 4.868 45644288 4.160 4039 3812 360s 6733 6.463 6210 5.971 5747 SS35 5335 4968 4639 4487 4344 4078 3837 7435 7.108 6802 6.515 6247 5.995 5.7595.328 4.946 4772 4.607 4303 4.031 360 7024 6710 6418 6.145 5650 5.216 5019 4833 .494 4192 9.471 8.983 8.530 8.111 7.722 7 9.787 9.253 8.760 8.306 7.887 7.499 7.139 6.805 6495 5.938 5.453 5234 5.029 46564327 11.255 10 575 9.954 9.385 8.863 8384 7.943 7.536 7.161 6814 6.194 5660 5421 5.197 4.793 4.439 12.134 11.348 10635 9.986 9.394 8853 8.358 7904 7487 7.103 6.424 5842 5.583 5342 4910 4533 13004 12.,106 11296 10.563 9 899 9295 8745 8244 7.786 7367 6628 6002 5724 5 458 5 008 14 13.865 12.849 11.938 11.118 10.380 9.712 9,108 8559 8061 7.606 6811 6.142 5847 5.575 5.092 4675 14,718 13.578 12 561 11.652 10.838 10.106 9.447 885 8313 7824 6974 6265 5.9545669 5.162 4.730 15.562 14.292 13.166 12.166 11.274 10477 9763 9.122 854 8.022 7.120 6373 6047 5749 5222 4.775 16.398 14.99213.754 12.659 11.690 10828 10.059 9372 8.756 8.201 7250 6467 6.128 5818 5273 4812 17.226 15.678 14.32413.134 12.085 11.158 10.336 9.604 8.950 8.3657.366 6550 6198 5.877 5.316 4.844 18.046 16.351 14.877 13.590 12.462 11.470 10594 9818 9129 8.514 7.469 6.623 6259 5929 5353 4870 18.857 17.011 15.415 14.029 12.821 11.764 10.836 10.017 9292 8649 7.562 6.687 6312 5973 5384 4891 19.660 17.658 15 937 14.451 13.163 12.042 11.061 10201 9442 8.772 7.645 6743 6359 6.011 5410 4909 20.456 18.292 16444 14857 13.489 12.303 11.272 10371 9.580 8.883 7.718 6792 6399 6044 5432 4925 21.243 18.914 16.936 15.247 13.799 12.550 11.469 10.529 9.707 8.985 7.784 6835 6434 6073 5451 4937 22.023 19523 17.413 15 622 14.094 12.783 11.654 10.675 9.823 9077 7843 6.873 6464 60975467 4.948 22.795 20.121 17.877 15.983 14.375 13.003 11.826 10810 9.929 9.161 7.896 6.906 64916118 5.480 4956 23.560 20 707 18 327 16.330 14.643 13.211 11.987 10.935 10.027 9.237 7.943 6935 65146136 5.492 4964 24 316 21.281 18.764 16.663 14.898 13.406 12.137 11.051 10.116 9307 7984 6961 6534 6.152 5502 497 21.844 19.188 16984 15.141 13.591 12.278 11.158 10.198 9.370 8022 6983 65S1 6.166 5510 4975 11258 10274 9.427 8055 003 6566 6.177 5,5174979 11925 10.757 9.779 8244 7.105 6642 6234 5.543 4997 30 25.808 22.396 19.600 17.292 15.372 13.765 12.409 32.835 27.355 23.115 19,793 17.159 15.046 13.332 21.482 18.256 15.762 13.801 12.233 10962 9.915 8.304 7.133 6.661 6246 5554 4999 50 39.196 31.424 25.730 2