On January 1,2025 , Pepper Co. issued ten-year bonds with a face value of $5,000,000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31 . The bonds were sold to yield 12%. Table values are: Present value of 1 for 10 periods at 10% Present value of 1 for 10 periods at 12% .38554 Present value of 1 for 20 periods at 5% .32197 Present value of 1 for 20 periods at 6% .37689 Present value of annuity for 10 periods at 10% .311180 Present value of annuity for 10 periods at 12% 6.14457 Present value of annuity for 20 periods at 5% 5.65022 Present value of annuity for 20 periods at 6% 12.46221 11.46992 (a) Calculate the issue price of the bonds. (b) Prepare the amortization table for 2025 , assuming that amortization is recorded on interest payment dates using the effective-interest method