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Air Destinations issues bonds due in 10 years with a stated interest rate of 7% and a face value of $500,000. Interest payments are
Air Destinations issues bonds due in 10 years with a stated interest rate of 7% and a face value of $500,000. Interest payments are made semi-annually. The market rate for this type of bond is 8%. Using present value tables, calculate the issue price of the bonds. (FV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of S1) (Use appropriate factor(s) from the tables provided.) Multiple Choice $466,026. $349,021 $500,000 $533,974
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