Chapter 14 Long-Term Liabilities

On January 1, 2017, Waterway Industries issued eight-year bonds with a face value of $6,150,000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31. The bonds were sold to yield 12%. Table values are: Present value of 1 for 8 periods at 10%; 0.467 Present value of 1 for 8 periods at 12%; 0.404 Present value of 1 for 16 periods at 5%; 0.458 Present value of 1 for 16 periods at 6%; 0.394 Present value of annuity for 8 periods at 10%; 5.335 Present value of annuity for 8 periods at 12%; 4.968 Present value of annuity for 16 periods at 5%; 10.838 Present value of annuity for 16 periods at 6%; 10.106

The present value of the principal is?