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Garcia Company issues 10.00%, 15-year bonds with a par value of $350,000 and semiannual interest payments. On the issue date, the annual market rate for

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Garcia Company issues 10.00%, 15-year bonds with a par value of $350,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 8.00%, which implies a selling price of 117 14. Confirm that the bonds' selling price is approximately correct. Use present value Table Bi and Toble 8.3 in Appendix B. (Round all table values to 4 decimal places, and use the rounded table values in calculations. Round your other final answers to nearest whole dollar amount.) Selling Price $ 410,375 Present Value Par Value x Price $ 350,000 117 1/4 Cash Flow Table Value $350,000 par (maturty) value $17,500 interest payment Price of Bond Difference due to rounding of table values $ 410,375

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