A company issues bonds with a par value of $$900,000$ on their issue date. The bonds mature in $10$ years and pay a $10\%$ annual contract rate of interest in semiannual payments. On the issue date, the market rate of interest is $14\%.$

Required: Compute the issue price of the bonds on their issue date. Show all calculations in your answer. For present value factors, you may use the Present Value Tables from your textbook or eBook $($Table B$\mathrm{.}1$ and Table B$\mathrm{.}3$ close to the very end of the textbook or eBook$).$