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Marwick Corporation issues 12%, 5 year bonds with a par value of $1,120,000 and semiannual interest payments. On the issue date, the annual market rate
Marwick Corporation issues 12%, 5 year bonds with a par value of $1,120,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10%. What is the bond's issue (selling) price, assuming the following Present Value factors:
Marwick Corporation issues 12%, 5 year bonds with a par value of $1,120,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10%. What is the bond's issue (selling) price, assuming the following Present Value factors. Present Value Present n= i- of an Annuity value of $1 5 12% 10 3.6048 7.3601 3.7908 7.7217 0.5674 0.5584 0.6209 0.6139 6% 10% 10 5% Multiple Choice $1,638,898 $1,206,466 $909,244 $601,102Step by Step Solution
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