James Corporation is planning to issue $504,000 worth of bonds that mature in 3 years and pay 8 percent interest each June 30 and December 31. All of the bonds will be sold on January 1, 2014.

Required:

Compute the issue (sale) price on January 1, 2014, for each of the following independent cases

a.

Case A: Market (yield) rate, 6 percent.

b.

Case B: Market (yield) rate, 8 percent.

c.	Case C: Market (yield) rate, 10 percent