41) On January 1, a company issues bonds dated January 1 with a par value of $370,000. The bonds mature in 3 years. The contract rate is 6.0%, and interest is paid semiannually on June 30 and December 31. The market rate is 7.0%. Using the present value factors below, the issue (selling) price of the bonds is:

n=		i=				Present Value of an Annuity				Present value of $1
3		6.0	%					2.6730			0.8396
6		3.0	%					5.4172			0.8375
3		7.0	%					2.6243			0.8163
6		3.5	%					5.3286			0.8135

A) $300,995. B) $59,147. C) $370,000. D) $379,858. E) $360,142.