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On January 1st, 2018, Watch Works issued $89,000 par value, 14% four year bonds that mature on December 31, 2021. Watch Works will pay interest
On January 1st, 2018, Watch Works issued $89,000 par value, 14% four year bonds that mature on December 31, 2021. Watch Works will pay interest semiannually on June 30 and December 31. On the date Watch Works issued the bonds, the market rate of interest was 16%. the companys fiscal year ends on December 31, what is the issue price of this bond?
Wwwwwwwwwww ne Total" in the activity, make sure you always enter Total as a POSITIVE number rounded to the nearest whole dollar. (Note: When cering Time Value of Money problems one of the amounts must be negative. In this activity, enter both Pmt and FV as negative values. e the Rate and Nper values when making your calculations. Do NOT use the annual values. Rate should always be entered as a cimal rounded to two decimal places: do NOT enter rate as a percent. For any elements that have a value of zero, please enter a "0" in formula 3 Fill out the journal entries. Round all dollar amounts to the nearest whole dollar. 2. Wait waarder and was de pressen four year berish mature on December 31, 2021 ww will pay viterest semiannually on June 30 and December 31. On the dar the Dewus the price of this bond Step by Step Solution
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