Question
Nordic Company issued bonds with the following provisions: Maturity value: $60,000,000. Interest: 7.9 percent per annum payable semi-annually each June 30 and December 31. Terms:
Nordic Company issued bonds with the following provisions: |
Maturity value: $60,000,000. |
Interest: 7.9 percent per annum payable semi-annually each June 30 and December 31. |
Terms: Bonds dated January 1, 2017, due five years from that date. |
The companys fiscal year ends on December 31. The bonds were sold on January 1, 2017, at a yield of 8 percent. |
Required: | |||||||||
1. | Compute the issue (sale) price of the bonds. (Round time value factor to 4 decimal places. Round the final answer to the nearest whole dollar.) | ||||||||
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