On January 1, a company issues 8%, 5-year, $300,000 bonds that pay interest semiannually each June 30 and December 31. On the issue date, the annual 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 the 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