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On January 2, 2020, Sheridan Company wishes to issue $6800000 (par value) of its 8%, 10-year bonds. The bonds pay interest annually on January 1.

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On January 2, 2020, Sheridan Company wishes to issue $6800000 (par value) of its 8%, 10-year bonds. The bonds pay interest annually on January 1. The current yield rate on such bonds is 11%. Using the interest factors below.compute the amount that Sheridan will realize from the sale (issuance of the bonds. Present value of 1 at 8% for 10 periods 0.4632 Present value of 1 at 11% for 10 periods 0.3522 Present value of an ordinary annuity at 8% for 10 periods 6.7101 Present value of an ordinary annuity at 11% for 10 5.8892 periods $7480000 $5598685 $7480045 $7520977

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