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On January 1, 2021, Saints issued $4,825,000, 6% 5-year bonds dated January 1, 2021. The bonds pay interest semiannually on June 30 and December
On January 1, 2021, Saints issued $4,825,000, 6% 5-year bonds dated January 1, 2021. The bonds pay interest semiannually on June 30 and December 31. The bonds were issued to yield 4%. Present value of a single sum for 5 periods Present value of a single sum for 10 periods 2.0% 3.0% 4.0% 0.90573 0.86261 0.82193 0.82035 0.74409 0.67556 6.0% 0.74726 0.55839 Present value of an ordinary annuity for 5 periods Present value of an ordinary annuity for 10 periods 4.71346 4.57971 4.45182 4.21236 8.98259 8.53020 8.11090 7.36009 Required: (1) Determine the following: Principal to be repaid: Semi-annual interest payments: n = r = (2) Determine the cash proceeds from the bond issue.
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