how to calculate question 2? Thanks

On March 1, year 1, Catalin Corporation issued $40 million in bonds that mature in 10 years. The bonds have a stated interest rate of 5.8 percent and pay interest on March 1 and September 1. When the bonds were sold, the market rate of interest was 6 percent. Catalin uses the effective interest method. By December 31, year 1, the market interest rate had increased to 6.5 percent. Use Table 9C.1, Table 9C.2. Required: 1. Record the issuance of the bond on March 1, year 1. Catalin uses a discount account. (Do not round your intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round time value factor to 4 decimal places. Enter your answers in dollars and not in millions.) View transaction list View journal entry worksheet No Date General Journal Debit Credit 1 March 01 Cash Discount on bonds payable Bond payable 39,405,900 594,100 40,000,000 2. Compute the present value of the difference between the interest paid each six months and the interest demanded by the market. Use the market rate of interest and the 10-year life of the bond in your present value computation. (Round time value factor to 4 decimal places. Enter your answers in dollars and not in millions.) Present value