Interest rates determine the present value of future amounts. (Round all numbers to the nearest whole dollar.)

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Requirements

1.

Determine the present value of six-year bonds payable with face value of $90,000 and stated interest rate of 10%, paid semiannually. The market rate of interest is 10% at issuance.

2.

Same bonds payable as in Requirement 1, but the market interest rate is 12%.

3.

Same bonds payable as in Requirement 1, but the market interest rate is 8%.

Requirement 1. Determine the present value of six-year bonds payable with face value of $90,000 and stated interest rate of 10%, paid semiannually. The market rate of interest is 10% at issuance. (Round interim calculations and final answer to the nearest whole dollar.)