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Kingbird Inc. has issued three types of debt on January 1, 2020, the start of the company's fiscal year. (a) $12 million, 12-year, 13%
Kingbird Inc. has issued three types of debt on January 1, 2020, the start of the company's fiscal year. (a) $12 million, 12-year, 13% unsecured bonds, interest payable quarterly. Bonds were priced to yield 11%. (b) $25 million par of 12-year, zero-coupon bonds at a price to yield 11% per year. (c) $18 million, 12-year, 10% mortgage bonds, interest payable annually to yield 11%. Prepare a schedule that identifies the following items for each bond: (1) maturity value, (2) number of interest periods over life of bond, (3) stated rate per each interest period, (4) effective interest rate per each interest period. (5) payment amount per period, and (6) present value of bonds at date of issue. (Round stated and effective rate per period to 2 decimal places, eg. 10.25% Round present value factor calculations to 5 decimal places, eg. 1.25124 and the final answer to O decimal places eg. 58,971) (2) Maturity value Number of (2) interest periods Unsecured Bonds Zero-Coupon Bonds Mortgage Bonds 104AM
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