Hodson

Corp. purchased

five

$1,000

6%

bonds of

Circuit

Corporation when the market rate of interest was

10%.

Interest is paid semiannually, and the bonds will mature in

six

years. Using the PV function in

Excel,

compute the price

Hodson

paid (the present value) for the bond investment. (Assume that all payments of interest and principal occur at the end of the period. Round your answer to the nearest cent.)

Question content area bottom

Part 1

Hudson paid ______ on the bond investment