On January 1 of the current year, Baker Corp. purchased $70,000 of Chocolate Inc. bonds. These bonds pay 5% interest annually on December 31 and mature in ten years on December 31. The investment is classified as a held-to-maturity investment because Baker has the intent and the ability to hold the bonds for 10 years. The effective rate on the bonds is 4.5%.

PLEASE WORK OUT HOW TO FIND THE BOND SELLING PRICE BY HAND, NOT IN EXCEL OR ON CALC