On Jan 1, a company issues bonds with a par value of $300,000. The bonds mature in five years and pay 8% annual interest, payable each June 30 and December 31. On the issue datem the market rate of interest for the bonds is 10%. Compute the price of the bonds on their issue date. The following information is taken from present value tables.

Present value of an annuity for 10 periods at 4% ------- 8.1109 Present value of an annuity for 10 periods at 5% ------- 7.7217 Present value of 1 for 10 periods at 4% ------- 0.6756 Present value of 1 for 10 periods at 5% ------- 0.6139