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E10-4 (Algo) Computing Issue Prices of Bonds Sold at Par, at a Discount, and at a Premium LO10-2, 10-4, 105 Kalani Corporation is planning to

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E10-4 (Algo) Computing Issue Prices of Bonds Sold at Par, at a Discount, and at a Premium LO10-2, 10-4, 105 Kalani Corporation is planning to issue bonds with a face value of $507,000 and a coupon rate of 6 percent. The bonds mature in 7 years and pay interest semiannually every June 30 and December 31 . All of the bonds will be sold on January 1 of this year. (EV of $1. PV of \$1, FVA of \$1, and PVA of \$1) Note: Use appropriate factor(s) from the tables provided. Required: Compute the issue (sales) price on January 1 of this year for each of the following independent cases: a. Case A: Market interest rate (annual): 4 percent. b. Case B: Market interest rate (annua): 6 percent. c. Case C: Market interest rate (annua): 8.5 percent. Complete this question by entering your answers in the tabs below. Compute the issue (sales) price on January 1 of this year for the following independent case: Case A: Market interest rate (annual): 4 percent. (Round your intermedlate calculations and final answer to whole dollars.)

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