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

1. Determine the present value of sevenseven-year bonds payable with face value of $85,000 and stated interest rate of 12% paid semiannually. The market rate of interest is12% at issuance. 2. Same bonds payable as in Requirement 1, but market interest rate is 14% 3. Same bonds payable as in Requirement 1, but market interest rate is 10% (You will need to use the Present Value Tables)