On January 2, Year 1, the Lyndhurst Company, Inc., a privately held company, issued $1,000,000, 5-year, 10 % term bonds, dated January 2, Year 1. The bonds provided for semiannual interest payments to be made on June 30 and December 31 of each year. Terms of the bond indenture allowed the company to call the bonds at 102 after 1 year. The bonds were issued when the market interest rate was 8%. Lyndhurst uses the effective interest method for amortizing bond discounts and premiums. Lyndhurst's fiscal year end for financial reporting purposes is December 31. The company called the bonds at 102 on June 30, Year 2. Calculate the present values of the principal and interest cash flows related to the bonds and the resulting bond issue price. In the Compounding period(s), Interest rate, Payment amount, and Present value columns, select from the option list provided the appropriate value. Each choice may be used once, more than once, or not at all. In the Factor column, find the appropriate time value factors in the references in the exhibits and enter those values in the appropriate cell. Then, use the spreadsheet to calculate the bond issue price in the Present value column based on your entries.