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On January 1, 2020, Cactus Corp. issued ten-year, 10% bonds with a face value of $500,000, with interest payable semi-annually on June 30 and December
On January 1, 2020, Cactus Corp. issued ten-year, 10% bonds with a face value of $500,000, with interest payable semi-annually on June 30 and December 31. At the time, the market rate was 12%.
Required
- Use your calculator to calculate the issue price of the bonds. Round the answer to the nearest dollar.
- Independent of your solution to part a), assume that the issue price was $442,000. Prepare the amortization table for 2020. Round values to the nearest dollar.
please show the steps clearly
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