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n For 2-3 use the following: The company issues 6% 10-year bonds with a total face amount of $5,000,000 with interest paid semi- annually. The

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n For 2-3 use the following: The company issues 6% 10-year bonds with a total face amount of $5,000,000 with interest paid semi- annually. The market rate of interest is 5.9%. % PV PVA 20 3.00% 0.55368 14.8775 20 2.95% 0.55908 14.9465 2. What is the issue price of the bond? $ round to nearest dollar 3. What is the interest expense for the first interest payment? $_ round to nearest dollar For 4-5 use the following Best Incorporated Balance Sheet (partial) At December 31, Year 6 Stockholders' Equity: Preferred stock (par $100.00) Common stock (par $0.25) Additional Pald in capital Total paid in capital Retained earnings Treasury stock (5,000 common shares) Total stockholders' equity $200,000 198,750 9,351,250 9,750,000 2,540,000 (100,000) $12.190.000 Assume that the company sold 2,000 shares of its treasury stock for $21 per share. 4. How much would additional paid in capital change? 5. How much would Stockholders' Equity change? $

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