A $700,000, ten year, 9% bond issue was sold to yield 10% interest annually. Actuarial information for 101 periods is as follows:

present value of $1 @ 9% = 0.42241 @ 10% = 0.38554

present value of an annuity of $1 @ 9% = 6.41766 @ 10% = 6.14456

The discount or premium at the date of bond issue would be:

A $700,000, ten year, 9% bond issue was sold to yield 10% interest annually. Actuarial information for 101 periods is as follows:

present value of $1 @ 9% = 0.42241 @ 10% = 0.38554

present value of an annuity of $1 @ 9% = 6.41766 @ 10% = 6.14456

The discount or premium at the date of bond issue would be:

$43,015 discount

$17,206 discount

$19,114 premium

$44,923 premium