On May 1, 2016, Joe purchased $200,000 in bonds that mature on May 1, 2036

Required:

Calculate the price that Joe paid for the bonds under each of the following independent situations:

A. The bonds have a stated rate of 8% and the current market rate is 10%

B. The bonds have a stated rate of 8% and the current market rate is 7%

C. The bonds pay have no interest and the current market rate is 9%