On January $2,2021,$ Fleetwood Inc. issued bonds with a face amount of $$25$ million and a stated interest rate of $8\%.$ The bonds mature in $10$ years and pay interest semiannually on June $30$ and December $31$ of each year. The market rate of interest on January $1,2021,$ for bonds of this type was $6\%.$ Fleetwood closes its books on December $31.$

Requirement $1$:

Present value of the principal repayment: