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On January 1, 2020, Concord Corporation issued eight-year bonds with a face value of $6070000 and a stated interest rate of 6%, payable semiannually on
On January 1, 2020, Concord Corporation issued eight-year bonds with a face value of $6070000 and a stated interest rate of 6%, payable semiannually on June 30 and December 31. The bonds were sold to yield 8%. Table values are:
Present value of 1 for 8 periods at 6% | 0.627 | ||
Present value of 1 for 8 periods at 8% | 0.540 | ||
Present value of 1 for 16 periods at 3% | 0.623 | ||
Present value of 1 for 16 periods at 4% | 0.534 | ||
Present value of annuity for 8 periods at 6% | 6.210 | ||
Present value of annuity for 8 periods at 8% | 5.747 | ||
Present value of annuity for 16 periods at 3% | 12.561 | ||
Present value of annuity for 16 periods at 4% | 11.652 |
The present value of the principal is
$3277800.
$3241380.
$3781610.
$3805890.
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