AMC Limited issued five-year, 5% bonds for their par value of $820,000 on 1 January 20X1. Interest is paid annually. The bonds are convertible to common shares at a rate of 50 common shares for every $1,000 bond. (PV of $1, PVA of $1, and PVAD of $1.) (Use appropriate factor(s) from the tables provided.) Required: 1. Assume that the bonds were convertible at the investor's option and that the conversion option was valued at $67,240. a. Provide the journal entry on issuance. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete and correct. No Transaction General Journal Debit Credit 1 1 Cash 820,000 67,240 Discount on bonds payable Bonds payable 820,000 Contributed capital: common share conversion rights 67,240 b. Calculate interest expense for each year of the bond's five-year life. Use an interest rate of 7% for this requirement. (Round your intermediate calculations and final answers to the nearest whole dollar.) Answer is not complete. Assignment 1 2 Beginning Interest Ending Payment balance @7% Balance $ 752,760 $ 52,693 $ (41,000) X $ 764,453 $ 764,453 $ 53,512$ (41,000) X $ 776,965 $ 776,965 $ 54,388 $ (41,000) X $ 790,352 X $ 790,352 X $ 55,325 $ (41,000) X $ 804,677 X 3 4 $ 5 $ 804,677 X $ 56,322 X x (861,000) c. Provide the journal entry to record maturity of the bond assuming shareholders convert their bonds to common shares. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry for conversion of bonds into common shares. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Bonds payable 820,000 Contributed capital: common share conversion rights 67,240 Common shares 887 240 d. Assume instead that the bonds were repaid for $870,200 after interest was paid in Year 3. Provide the journal entry for retirement, assuming $66,690 of the payment related to the option and the rest related to the bond. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.) View transaction list Journal entry worksheet Record the entry for repayment of bonds. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 820,000 Bonds payable Contributed capital: common share conversion rights Loss on bond retirement 67,240 600 Cash 870,200 66,690 Discount on bonds payable Common shares 550 2. Assume that the bonds were mandatorily convertible at maturity. a. Calculate the portion of the original proceeds relating to interest and the equity portion. Use a discount rate of 6%. (Round your final answers to the nearest whole dollar. Round time value factor to 5 decimal places.) Assignment Interest portion Equity portion $ 719,106 $ 67,240 b. Provide the journal entry on issuance. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar. Round time value factor to 5 decimal places.) View transaction list Journal entry worksheet Record the entry for issuance of bonds. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 786,346 100,894 Cash Discount on bonds payable Bonds payable Common share conversion rights 820,000 67,240 TABLE 1-1: Present value of 1: (P/F, i, n) P/F = 1 (1 + i)" n 3% 1 7% 0.93458 0.87344 2% 0.98039 0.96117 0.94232 0.92385 0.90573 2.5% 0.97561 0.95181 0.92860 0.90595 0.88385 4% 0.96154 0.92456 0.88900 0.85480 0.82193 0.97087 0.94260 0.91514 0.88849 0.86261 5% 0.95238 0.90703 0.86384 0.82270 0.78353 6% 0.94340 0.89000 0.83962 0.79209 0.74726 8% 0.92593 0.85734 0.79383 0.73503 0.68058 9% 0.91743 0.84168 0.77218 0.70843 0.64993 10% 0.90909 0.82645 0.75131 0.68301 0.62092 11% 0.90090 0.81162 0.73119 0.65873 0.59345 12% 0.89286 0.79719 0.71178 0.63552 0.56743 14% 0.87719 0.76947 0.67497 0.59208 0.51937 15% 0.86957 0.75614 0.65752 0.57175 0.49718 3 4 5 0.81630 0.76290 0.71299 6 7 8 9 10 0.88797 0.87056 0.85349 0.83676 0.82035 0.86230 0.84127 0.82075 0.80073 0.781 20 0.83748 0.81309 0.78941 0.76642 0.74409 0.79031 0.75992 0.73069 0.70259 0.67556 0.74622 0.71068 0.67684 0.64461 0.61391 0.70496 0.66506 0.62 741 0.59190 0.55839 0.66634 0.62275 0.58201 0.54393 0.50835 0.63017 0.58 349 0.54027 0.50025 0.46319 0.59627 0.54703 0.50187 0.46043 0.42241 0.56447 0.51316 0.46651 0.42410 0.38554 0.53464 0.48 166 0.43393 0.39092 0.35218 0.50663 0.45235 0.40388 0.36061 0.32197 0.45559 0.39964 0.35056 0.30751 0.26974 0.43233 0.37594 0.32690 0.28426 0.247 18 11 12 13 14 15 0.80426 0.78849 0.77303 0.75788 0.74301 0.76214 0.74356 0.72542 0.70773 0.69047 0.72242 0.70138 0.68095 0.66112 0.64186 0.64958 0.62460 0.60057 0.57748 0.55526 0.58468 0.55684 0.53032 0.50507 0.48102 0.52679 0.49697 0.46884 0.44230 0.41727 0.47509 0.44401 0.41496 0.38782 0.36245 0.42888 0.39711 0.36770 0.34046 0.31524 0.38753 0.35553 0.32618 0.29925 0.27454 0.35049 0.31863 0.28966 0.26333 0.23939 0.31728 0.28584 0.25751 0.23199 0.20900 0.28748 0.25668 0.22917 0.20462 0.18270 0.23662 0.20756 0.18207 0.15971 0.14010 0.21494 0.18691 0.16253 0.14133 0.12289 16 17 18 19 20 0.72845 0.71416 0.70016 0.68643 0.67297 0.67362 0.65720 0.64117 0.62553 0.61027 0.62317 0.60502 0.58739 0.57029 0.55368 0.53391 0.51337 0.49363 0.47464 0.45639 0.45811 0.43630 0.41552 0.39573 0.37689 0.39365 0.37136 0.35034 0.33051 0.31 180 0.29189 0.27027 0.25025 0.23171 0.21455 0.25187 0.23107 0.21199 0.19449 0.17843 0.21763 0.19784 0.17986 0.16351 0.14864 0.18829 0.16963 0.15282 0.13768 0.12403 0.16312 0.14564 0.13004 0.11611 0.10367 0.1 2289 0.10780 0.09456 0.08295 0.07276 0.10686 0.09293 0.08081 0.07027 0.06110 0.33873 0.31657 0.29586 0.27651 0.25842 0.24151 0.22571 0.21095 0.19715 0.18425 21 22 23 24 25 0.65978 0.64684 0.63416 0.62172 0.60953 0.59539 0.58086 0.56670 0.55288 0.53939 0.53755 0.52189 0.50669 0.49193 0.47761 0.35894 0.34185 0.32557 0.31007 0.29530 0.29416 0.27751 0.26180 0.24698 0.23300 0.19866 0.18394 0.17032 0.15770 0.14602 0.16370 0.15018 0.13778 0.1 2640 0.11597 0.13513 0.12285 0.11168 0.10153 0.09230 0.11174 0.10067 0.09069 0.08170 0.07361 0.09256 0.08264 0.07379 0.06588 0.05882 0.06383 0.05599 0.04911 0.04308 0.03779 0.05313 0.04620 0.04017 0.03493 0.03038 0.43883 0.42196 0.40573 0.39012 0.37512 0.36069 0.34682 0.33348 0.32065 0.30832 26 27 28 29 30 0.59758 0.58586 0.57437 0.56311 0.55207 0.52623 0.51340 0.50088 0.48866 0.47674 0.46369 0.45019 0.43708 0.42435 0.41199 0.281 24 0.26785 0.25509 0.24295 0.23138 0.21981 0. 20737 0.19563 0.18456 0.17411 0.17220 0.16093 0.15040 0.14056 0.13137 0.13520 0.12519 0.11591 0.10733 0.09938 0.10639 0.09761 0.08955 0.08215 0.07537 0.08391 0.07628 0.06934 0.06304 0.05731 0.06631 0.05974 0.05382 0.04849 0.04368 0.05252 0.04689 0.04187 0.03738 0.03338 0.03315 0.02908 0.02551 0.02237 0.01963 0.02642 0.02297 0.01997 0.01737 0.01510 31 32 33 34 35 0.54125 0.53063 0.52023 0.51003 0.50003 0.46511 0.45377 0.44270 0.43191 0.42137 0.39999 0.38834 0.37703 0.36604 0.35538 0.29646 0.28506 0.27409 0.26355 0.25342 0.22036 0.20987 0.19987 0.19035 0.181 29 0.16425 0.15496 0.14619 0.13791 0.13011 0.12277 0.11474 0.10723 0.10022 0.09366 0.09202 0.08520 0.07889 0.07305 0.06763 0.06915 0.06344 0.05820 0.05339 0.04899 0.05210 0.04736 0.04306 0.03914 0.03558 0.03935 0.03545 0.03194 0.02878 0.02592 0.02980 0.02661 0.02376 0.02121 0.0 1894 0.01313 0.01142 0.00993 0.00864 0.00751 0.01722 0.01510 0.01325 0.01162 0.01019 0.00894 0.00784 0.00688 0.00604 0.00529 36 37 38 0.49022 0.48061 0.47119 0.46195 0.45289 0.41109 0.40107 0.39128 0.38174 0.37243 0.34503 0.33498 0.32523 0.31575 0.30656 0.24367 0.23430 0.22529 0.21662 0.20829 0.17266 0.16444 0.15661 0.14915 0.14205 0.12274 0.11579 0.10924 0.10306 0.09722 0.08 754 0.08181 0.07646 0.07146 0.06678 0.06262 0.05799 0.05369 0.04971 0.04603 0.04494 0.04123 0.03783 0.03470 0.03184 0.03235 0.02941 0.02673 0.02430 0.02209 0.02335 0.02104 0.01896 0.01708 0.01538 0.01691 0.01510 0.01348 0.01204 0.01075 0.00653 0.00568 0.00494 0.00429 0.003 73 39 40 45 0.41020 0.32917 0.26444 0.17120 0.11130 0.07265 0.04761 0.03 133 0.02069 0.01372 0.00913 0.00610 0.00275 0.00186 50 0.37153 0.29094 0.22811 0.14071 0.08720 0.05429 0.03395 0.02132 0.01345 0.00852 0.00542 0.00346 0.00143 0.00092 TABLE 1-3: Present value of an annuity due of n payments of 1: (P/AD, i, n) 1 P/AD = (1 + i)" x (1 + i) 1- 1 2 3 4 5 2% 1.00000 1.98039 2.94156 3.88388 4.80773 2.5% 1.00000 1.97561 2.92742 3.85602 4.76197 3% 1.00000 1.97087 2.91347 3.82861 4.71710 4% 1.00000 1.96154 2.88609 3.77509 4.62990 5% 1.00000 1.95238 2.85941 3.72325 4.54595 6% 1.00000 1.94340 2.83339 3.67301 4.46511 7% 1.00000 1.93458 2.80802 3.62432 4.38721 8% 1.00000 1.92593 2.78326 3.57710 4.31213 9% 1.00000 1.91743 2.75911 3.53129 4.23972 10% 11% 12% 14% 15% 1.00000 1.00000 1.00000 1.00000 1.00000 1.90909 1.90090 1.89286 1.87719 1.86957 2.73554 2.71 252 2.69005 2.64666 2.62571 3.48 685 3.44371 3.40183 3.32163 3.28323 4.16987 4.10245 4.03 735 3.91371 3.85498 6 7 8 9 10 11 12 13 14 15 16 17 18 19 5.71346 5.64583 5.57971 5.45182 5.32948 5.21236 5.10020 4.99271 4.88965 4.79079 4.69590 4.60478 4.43308 4.35216 6.60143 6.50813 6.41719 6.24214 6.07569 5.91732 5.76654 5.62288 5.48592 5.35526 5.23054 5.11141 4.88867 4.78448 7.47199 7.34939 7.23028 7.00205 6.78637 6.58238 6.38929 6.20637 6.03295 5.86842 5.71220 5.56376 5.28830 5.16042 8.32548 8.17014 8.01969 7.73274 7.46321 7.20979 6.97130 6.74664 6.53482 6.33493 6.14612 5.96764 5.63886 5.48732 9.16224 8.97087 8.78611 8.43533 8.10782 7.80169 7.51523 7.24689 6.99525 6.75902 6.53705 6.32825 5.94637 5.77158 9.98259 9.75206 9.53020 9.11090 8.72173 8.36009 8.02358 7.71008 7.41766 7.14457 6.88923 6.65022 6.21612 6.0 1877 10.78685 10.51421 10.25262 9.76048 9.30641 8.88687 8.49867 8.13896 7.80519 7.49506 7.20652 6.93770 6.45273 6.23371 11.57534 11.25776 10.95400 10.38507 9.86325 9.38384 8.94269 8.53608 8.16073 7.81369 7.49236 7.19437 6.66029 6.42062 12.34837 11.98318 11.63496 10.98565 10.39357 9.85268 9.35765 8.90378 8.48690 8. 10336 7.74987 7.42355 6.84236 6.58315 13.10625 12.69091 12.29607 11.56312 10.89864 10.29498 9.74547 9.24424 8.78615 8.36669 7.98 187 7.62817 7.00207 6.72448 13.84926 13.38 138 12.93794 12.11839 11.37966 10.71225 10.10791 9.55948 9.06069 8.60608 8.19087 7.81086 7.14217 6.84737 14.57771 14.05500 13.56110 12.65230 11.83777 11.10590 10.44665 9.85137 9.31256 8.82371 8.37916 7.97399 7.26506 6.95423 15.29187 14.71220 14.16612 13.16567 12.27407 11.47726 10.76322 10.12164 9.54363 9.02155 8.54879 8.11963 7.37286 7.04716 15.99203 15.35336 14.75351 13.65930 12.68959 11.82760 11.05909 10.37189 9.75563 9.20141 8.70162 8.24967 7.46742 7.12797 16.67846 15.97889 15.32380 14.13394 13.08532 12.15812 11.33560 10.60360 9.95011 9.36492 8.83929 8.365 78 7.55037 7.19823 17.35143 16.58916 15.87747 14.59033 13.46221 12.46992 11.59401 10.81815 10.12855 9.51356 8.96333 8.46944 7.62313 7.25933 18.01121 17.18455 16.41502 15.02916 13.82115 12.76408 11.83553 11.01680 10.29224 9.64869 9.07507 8.56200 7.68696 7.31246 18.65805 17.76541 16.93692 15.45112 14.16300 13.04158 12.061 24 11.20074 10.44243 9.77154 9.17574 8.64465 7.74294 7.35866 19.292 20 18.33211 17.44361 15.85684 14.48857 13.30338 12.27219 11.37106 10.58021 9.88322 9.26643 8.71843 7.79206 7.39884 19.91393 18.88499 17.93554 16.24696 14.79864 13.55036 12.46933 11.52876 10.70661 9.98474 9.34814 8.78432 7.83514 7.43377 20.52346 19.42438 18.41315 16.62208 15.09394 13.78336 12.65358 11.67478 10.82258 10.07704 9.42174 8.84314 7.87293 7.46415 21.12104 19.95061 18.87684 16.98277 15.37519 14.00317 12.825 78 11.80998 10.92897 10.16095 9.48806 8.89566 7.90608 7.49056 21.70690 20.46401 19.32703 17.32959 15.64303 14.21053 12.98671 11.93516 11.02658 10.23722 9.54780 8.94255 7.93515 7.51353 22.28127 20.96489 19.76411 17.66306 15.89813 14.40616 13.13711 12.05108 11.11613 10.30657 9.60162 8.98442 7.96066 7.53351 22.84438 21.45355 20.18845 17.98371 16.14107 14.59072 13.27767 12.15841 11.19828 10.36961 9.65011 9.02181 7.98304 7.55088 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 23.39646 21.93029 20.60044 18.29203 16.37245 14.76483 13.40904 12.25778 11.27365 10.42691 9.69379 9.05518 8.00266 7.56598 23.93770 22.39541 21.00043 18.58849 16.59281 14.92909 13.53181 12.34980 11.34280 10.47901 9.73315 9.08499 8.01988 7.57911 24.46833 22.84918 21.38877 18.87355 16.80 268 15.08404 13.64656 12.43500 11.40624 10.52638 9.76860 9.11159 8.03498 7.59053 24.98856 23.29188 21.76579 19.14765 17.00 255 15.23023 13.75379 12.51389 11.46444 10.56943 9.80054 9.13535 8.04823 7.60046 25.49859 23.72379 22.13184 19.41120 17.19290 15.36814 13.85401 12.58693 11.51784 10.60857 9.82932 9.15656 8.05985 7.60910 25.99862 24.14516 22.48722 19.66461 17.37419 15.49825 13.94767 12.65457 11.56682 10.64416 9.85524 9.17550 8.07005 7.61661 26.48884 24.55625 22.83225 19.90828 17.54685 15.62099 14.03521 12.71719 11.61176 10.67651 9.87859 9.19241 8.07899 7.62314 26.96945 24.95732 23.16724 20.14258 17.711 29 15.73678 14.11702 12.77518 11.65299 10.70592 9.89963 9.20751 8.08683 7.62881 27.44064 25.34860 23.49246 20.36786 17.86 789 15.84602 14.19347 12.82887 11.69082 10.73265 9.91859 9.22099 8.09371 7.63375 27.90259 25.73034 23.80822 20.58448 18.01 704 15.94907 14.26493 12.87858 11.72552 10.75696 9.93567 9.23303 8.09975 7.63805 30.07996 27.50385 25.25427 21.54884 18.66277 16.38318 14.55791 13.07707 11.86051 10.84909 9.99878 9.27642 8.1 2047 7.65244 32.05208 29.07137 26.50166 22.34147 19.16872 16.70757 14.76680 13.21216 11.94823 10.90630 10.03624 9.30104 8.13123 7.65959 45 50 AMC Limited issued five-year, 5% bonds for their par value of $820,000 on 1 January 20X1. Interest is paid annually. The bonds are convertible to common shares at a rate of 50 common shares for every $1,000 bond. (PV of $1, PVA of $1, and PVAD of $1.) (Use appropriate factor(s) from the tables provided.) Required: 1. Assume that the bonds were convertible at the investor's option and that the conversion option was valued at $67,240. a. Provide the journal entry on issuance. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete and correct. No Transaction General Journal Debit Credit 1 1 Cash 820,000 67,240 Discount on bonds payable Bonds payable 820,000 Contributed capital: common share conversion rights 67,240 b. Calculate interest expense for each year of the bond's five-year life. Use an interest rate of 7% for this requirement. (Round your intermediate calculations and final answers to the nearest whole dollar.) Answer is not complete. Assignment 1 2 Beginning Interest Ending Payment balance @7% Balance $ 752,760 $ 52,693 $ (41,000) X $ 764,453 $ 764,453 $ 53,512$ (41,000) X $ 776,965 $ 776,965 $ 54,388 $ (41,000) X $ 790,352 X $ 790,352 X $ 55,325 $ (41,000) X $ 804,677 X 3 4 $ 5 $ 804,677 X $ 56,322 X x (861,000) c. Provide the journal entry to record maturity of the bond assuming shareholders convert their bonds to common shares. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry for conversion of bonds into common shares. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Bonds payable 820,000 Contributed capital: common share conversion rights 67,240 Common shares 887 240 d. Assume instead that the bonds were repaid for $870,200 after interest was paid in Year 3. Provide the journal entry for retirement, assuming $66,690 of the payment related to the option and the rest related to the bond. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.) View transaction list Journal entry worksheet Record the entry for repayment of bonds. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 820,000 Bonds payable Contributed capital: common share conversion rights Loss on bond retirement 67,240 600 Cash 870,200 66,690 Discount on bonds payable Common shares 550 2. Assume that the bonds were mandatorily convertible at maturity. a. Calculate the portion of the original proceeds relating to interest and the equity portion. Use a discount rate of 6%. (Round your final answers to the nearest whole dollar. Round time value factor to 5 decimal places.) Assignment Interest portion Equity portion $ 719,106 $ 67,240 b. Provide the journal entry on issuance. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar. Round time value factor to 5 decimal places.) View transaction list Journal entry worksheet Record the entry for issuance of bonds. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 786,346 100,894 Cash Discount on bonds payable Bonds payable Common share conversion rights 820,000 67,240 TABLE 1-1: Present value of 1: (P/F, i, n) P/F = 1 (1 + i)" n 3% 1 7% 0.93458 0.87344 2% 0.98039 0.96117 0.94232 0.92385 0.90573 2.5% 0.97561 0.95181 0.92860 0.90595 0.88385 4% 0.96154 0.92456 0.88900 0.85480 0.82193 0.97087 0.94260 0.91514 0.88849 0.86261 5% 0.95238 0.90703 0.86384 0.82270 0.78353 6% 0.94340 0.89000 0.83962 0.79209 0.74726 8% 0.92593 0.85734 0.79383 0.73503 0.68058 9% 0.91743 0.84168 0.77218 0.70843 0.64993 10% 0.90909 0.82645 0.75131 0.68301 0.62092 11% 0.90090 0.81162 0.73119 0.65873 0.59345 12% 0.89286 0.79719 0.71178 0.63552 0.56743 14% 0.87719 0.76947 0.67497 0.59208 0.51937 15% 0.86957 0.75614 0.65752 0.57175 0.49718 3 4 5 0.81630 0.76290 0.71299 6 7 8 9 10 0.88797 0.87056 0.85349 0.83676 0.82035 0.86230 0.84127 0.82075 0.80073 0.781 20 0.83748 0.81309 0.78941 0.76642 0.74409 0.79031 0.75992 0.73069 0.70259 0.67556 0.74622 0.71068 0.67684 0.64461 0.61391 0.70496 0.66506 0.62 741 0.59190 0.55839 0.66634 0.62275 0.58201 0.54393 0.50835 0.63017 0.58 349 0.54027 0.50025 0.46319 0.59627 0.54703 0.50187 0.46043 0.42241 0.56447 0.51316 0.46651 0.42410 0.38554 0.53464 0.48 166 0.43393 0.39092 0.35218 0.50663 0.45235 0.40388 0.36061 0.32197 0.45559 0.39964 0.35056 0.30751 0.26974 0.43233 0.37594 0.32690 0.28426 0.247 18 11 12 13 14 15 0.80426 0.78849 0.77303 0.75788 0.74301 0.76214 0.74356 0.72542 0.70773 0.69047 0.72242 0.70138 0.68095 0.66112 0.64186 0.64958 0.62460 0.60057 0.57748 0.55526 0.58468 0.55684 0.53032 0.50507 0.48102 0.52679 0.49697 0.46884 0.44230 0.41727 0.47509 0.44401 0.41496 0.38782 0.36245 0.42888 0.39711 0.36770 0.34046 0.31524 0.38753 0.35553 0.32618 0.29925 0.27454 0.35049 0.31863 0.28966 0.26333 0.23939 0.31728 0.28584 0.25751 0.23199 0.20900 0.28748 0.25668 0.22917 0.20462 0.18270 0.23662 0.20756 0.18207 0.15971 0.14010 0.21494 0.18691 0.16253 0.14133 0.12289 16 17 18 19 20 0.72845 0.71416 0.70016 0.68643 0.67297 0.67362 0.65720 0.64117 0.62553 0.61027 0.62317 0.60502 0.58739 0.57029 0.55368 0.53391 0.51337 0.49363 0.47464 0.45639 0.45811 0.43630 0.41552 0.39573 0.37689 0.39365 0.37136 0.35034 0.33051 0.31 180 0.29189 0.27027 0.25025 0.23171 0.21455 0.25187 0.23107 0.21199 0.19449 0.17843 0.21763 0.19784 0.17986 0.16351 0.14864 0.18829 0.16963 0.15282 0.13768 0.12403 0.16312 0.14564 0.13004 0.11611 0.10367 0.1 2289 0.10780 0.09456 0.08295 0.07276 0.10686 0.09293 0.08081 0.07027 0.06110 0.33873 0.31657 0.29586 0.27651 0.25842 0.24151 0.22571 0.21095 0.19715 0.18425 21 22 23 24 25 0.65978 0.64684 0.63416 0.62172 0.60953 0.59539 0.58086 0.56670 0.55288 0.53939 0.53755 0.52189 0.50669 0.49193 0.47761 0.35894 0.34185 0.32557 0.31007 0.29530 0.29416 0.27751 0.26180 0.24698 0.23300 0.19866 0.18394 0.17032 0.15770 0.14602 0.16370 0.15018 0.13778 0.1 2640 0.11597 0.13513 0.12285 0.11168 0.10153 0.09230 0.11174 0.10067 0.09069 0.08170 0.07361 0.09256 0.08264 0.07379 0.06588 0.05882 0.06383 0.05599 0.04911 0.04308 0.03779 0.05313 0.04620 0.04017 0.03493 0.03038 0.43883 0.42196 0.40573 0.39012 0.37512 0.36069 0.34682 0.33348 0.32065 0.30832 26 27 28 29 30 0.59758 0.58586 0.57437 0.56311 0.55207 0.52623 0.51340 0.50088 0.48866 0.47674 0.46369 0.45019 0.43708 0.42435 0.41199 0.281 24 0.26785 0.25509 0.24295 0.23138 0.21981 0. 20737 0.19563 0.18456 0.17411 0.17220 0.16093 0.15040 0.14056 0.13137 0.13520 0.12519 0.11591 0.10733 0.09938 0.10639 0.09761 0.08955 0.08215 0.07537 0.08391 0.07628 0.06934 0.06304 0.05731 0.06631 0.05974 0.05382 0.04849 0.04368 0.05252 0.04689 0.04187 0.03738 0.03338 0.03315 0.02908 0.02551 0.02237 0.01963 0.02642 0.02297 0.01997 0.01737 0.01510 31 32 33 34 35 0.54125 0.53063 0.52023 0.51003 0.50003 0.46511 0.45377 0.44270 0.43191 0.42137 0.39999 0.38834 0.37703 0.36604 0.35538 0.29646 0.28506 0.27409 0.26355 0.25342 0.22036 0.20987 0.19987 0.19035 0.181 29 0.16425 0.15496 0.14619 0.13791 0.13011 0.12277 0.11474 0.10723 0.10022 0.09366 0.09202 0.08520 0.07889 0.07305 0.06763 0.06915 0.06344 0.05820 0.05339 0.04899 0.05210 0.04736 0.04306 0.03914 0.03558 0.03935 0.03545 0.03194 0.02878 0.02592 0.02980 0.02661 0.02376 0.02121 0.0 1894 0.01313 0.01142 0.00993 0.00864 0.00751 0.01722 0.01510 0.01325 0.01162 0.01019 0.00894 0.00784 0.00688 0.00604 0.00529 36 37 38 0.49022 0.48061 0.47119 0.46195 0.45289 0.41109 0.40107 0.39128 0.38174 0.37243 0.34503 0.33498 0.32523 0.31575 0.30656 0.24367 0.23430 0.22529 0.21662 0.20829 0.17266 0.16444 0.15661 0.14915 0.14205 0.12274 0.11579 0.10924 0.10306 0.09722 0.08 754 0.08181 0.07646 0.07146 0.06678 0.06262 0.05799 0.05369 0.04971 0.04603 0.04494 0.04123 0.03783 0.03470 0.03184 0.03235 0.02941 0.02673 0.02430 0.02209 0.02335 0.02104 0.01896 0.01708 0.01538 0.01691 0.01510 0.01348 0.01204 0.01075 0.00653 0.00568 0.00494 0.00429 0.003 73 39 40 45 0.41020 0.32917 0.26444 0.17120 0.11130 0.07265 0.04761 0.03 133 0.02069 0.01372 0.00913 0.00610 0.00275 0.00186 50 0.37153 0.29094 0.22811 0.14071 0.08720 0.05429 0.03395 0.02132 0.01345 0.00852 0.00542 0.00346 0.00143 0.00092 TABLE 1-3: Present value of an annuity due of n payments of 1: (P/AD, i, n) 1 P/AD = (1 + i)" x (1 + i) 1- 1 2 3 4 5 2% 1.00000 1.98039 2.94156 3.88388 4.80773 2.5% 1.00000 1.97561 2.92742 3.85602 4.76197 3% 1.00000 1.97087 2.91347 3.82861 4.71710 4% 1.00000 1.96154 2.88609 3.77509 4.62990 5% 1.00000 1.95238 2.85941 3.72325 4.54595 6% 1.00000 1.94340 2.83339 3.67301 4.46511 7% 1.00000 1.93458 2.80802 3.62432 4.38721 8% 1.00000 1.92593 2.78326 3.57710 4.31213 9% 1.00000 1.91743 2.75911 3.53129 4.23972 10% 11% 12% 14% 15% 1.00000 1.00000 1.00000 1.00000 1.00000 1.90909 1.90090 1.89286 1.87719 1.86957 2.73554 2.71 252 2.69005 2.64666 2.62571 3.48 685 3.44371 3.40183 3.32163 3.28323 4.16987 4.10245 4.03 735 3.91371 3.85498 6 7 8 9 10 11 12 13 14 15 16 17 18 19 5.71346 5.64583 5.57971 5.45182 5.32948 5.21236 5.10020 4.99271 4.88965 4.79079 4.69590 4.60478 4.43308 4.35216 6.60143 6.50813 6.41719 6.24214 6.07569 5.91732 5.76654 5.62288 5.48592 5.35526 5.23054 5.11141 4.88867 4.78448 7.47199 7.34939 7.23028 7.00205 6.78637 6.58238 6.38929 6.20637 6.03295 5.86842 5.71220 5.56376 5.28830 5.16042 8.32548 8.17014 8.01969 7.73274 7.46321 7.20979 6.97130 6.74664 6.53482 6.33493 6.14612 5.96764 5.63886 5.48732 9.16224 8.97087 8.78611 8.43533 8.10782 7.80169 7.51523 7.24689 6.99525 6.75902 6.53705 6.32825 5.94637 5.77158 9.98259 9.75206 9.53020 9.11090 8.72173 8.36009 8.02358 7.71008 7.41766 7.14457 6.88923 6.65022 6.21612 6.0 1877 10.78685 10.51421 10.25262 9.76048 9.30641 8.88687 8.49867 8.13896 7.80519 7.49506 7.20652 6.93770 6.45273 6.23371 11.57534 11.25776 10.95400 10.38507 9.86325 9.38384 8.94269 8.53608 8.16073 7.81369 7.49236 7.19437 6.66029 6.42062 12.34837 11.98318 11.63496 10.98565 10.39357 9.85268 9.35765 8.90378 8.48690 8. 10336 7.74987 7.42355 6.84236 6.58315 13.10625 12.69091 12.29607 11.56312 10.89864 10.29498 9.74547 9.24424 8.78615 8.36669 7.98 187 7.62817 7.00207 6.72448 13.84926 13.38 138 12.93794 12.11839 11.37966 10.71225 10.10791 9.55948 9.06069 8.60608 8.19087 7.81086 7.14217 6.84737 14.57771 14.05500 13.56110 12.65230 11.83777 11.10590 10.44665 9.85137 9.31256 8.82371 8.37916 7.97399 7.26506 6.95423 15.29187 14.71220 14.16612 13.16567 12.27407 11.47726 10.76322 10.12164 9.54363 9.02155 8.54879 8.11963 7.37286 7.04716 15.99203 15.35336 14.75351 13.65930 12.68959 11.82760 11.05909 10.37189 9.75563 9.20141 8.70162 8.24967 7.46742 7.12797 16.67846 15.97889 15.32380 14.13394 13.08532 12.15812 11.33560 10.60360 9.95011 9.36492 8.83929 8.365 78 7.55037 7.19823 17.35143 16.58916 15.87747 14.59033 13.46221 12.46992 11.59401 10.81815 10.12855 9.51356 8.96333 8.46944 7.62313 7.25933 18.01121 17.18455 16.41502 15.02916 13.82115 12.76408 11.83553 11.01680 10.29224 9.64869 9.07507 8.56200 7.68696 7.31246 18.65805 17.76541 16.93692 15.45112 14.16300 13.04158 12.061 24 11.20074 10.44243 9.77154 9.17574 8.64465 7.74294 7.35866 19.292 20 18.33211 17.44361 15.85684 14.48857 13.30338 12.27219 11.37106 10.58021 9.88322 9.26643 8.71843 7.79206 7.39884 19.91393 18.88499 17.93554 16.24696 14.79864 13.55036 12.46933 11.52876 10.70661 9.98474 9.34814 8.78432 7.83514 7.43377 20.52346 19.42438 18.41315 16.62208 15.09394 13.78336 12.65358 11.67478 10.82258 10.07704 9.42174 8.84314 7.87293 7.46415 21.12104 19.95061 18.87684 16.98277 15.37519 14.00317 12.825 78 11.80998 10.92897 10.16095 9.48806 8.89566 7.90608 7.49056 21.70690 20.46401 19.32703 17.32959 15.64303 14.21053 12.98671 11.93516 11.02658 10.23722 9.54780 8.94255 7.93515 7.51353 22.28127 20.96489 19.76411 17.66306 15.89813 14.40616 13.13711 12.05108 11.11613 10.30657 9.60162 8.98442 7.96066 7.53351 22.84438 21.45355 20.18845 17.98371 16.14107 14.59072 13.27767 12.15841 11.19828 10.36961 9.65011 9.02181 7.98304 7.55088 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 23.39646 21.93029 20.60044 18.29203 16.37245 14.76483 13.40904 12.25778 11.27365 10.42691 9.69379 9.05518 8.00266 7.56598 23.93770 22.39541 21.00043 18.58849 16.59281 14.92909 13.53181 12.34980 11.34280 10.47901 9.73315 9.08499 8.01988 7.57911 24.46833 22.84918 21.38877 18.87355 16.80 268 15.08404 13.64656 12.43500 11.40624 10.52638 9.76860 9.11159 8.03498 7.59053 24.98856 23.29188 21.76579 19.14765 17.00 255 15.23023 13.75379 12.51389 11.46444 10.56943 9.80054 9.13535 8.04823 7.60046 25.49859 23.72379 22.13184 19.41120 17.19290 15.36814 13.85401 12.58693 11.51784 10.60857 9.82932 9.15656 8.05985 7.60910 25.99862 24.14516 22.48722 19.66461 17.37419 15.49825 13.94767 12.65457 11.56682 10.64416 9.85524 9.17550 8.07005 7.61661 26.48884 24.55625 22.83225 19.90828 17.54685 15.62099 14.03521 12.71719 11.61176 10.67651 9.87859 9.19241 8.07899 7.62314 26.96945 24.95732 23.16724 20.14258 17.711 29 15.73678 14.11702 12.77518 11.65299 10.70592 9.89963 9.20751 8.08683 7.62881 27.44064 25.34860 23.49246 20.36786 17.86 789 15.84602 14.19347 12.82887 11.69082 10.73265 9.91859 9.22099 8.09371 7.63375 27.90259 25.73034 23.80822 20.58448 18.01 704 15.94907 14.26493 12.87858 11.72552 10.75696 9.93567 9.23303 8.09975 7.63805 30.07996 27.50385 25.25427 21.54884 18.66277 16.38318 14.55791 13.07707 11.86051 10.84909 9.99878 9.27642 8.1 2047 7.65244 32.05208 29.07137 26.50166 22.34147 19.16872 16.70757 14.76680 13.21216 11.94823 10.90630 10.03624 9.30104 8.13123 7.65959 45 50
