On September 30, 2016, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of $300 million. The bonds mature on September 30, 2036 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)

Required: Determine the price of the bonds on September 30, 2016.

Table value are based on:

n= 40 ?

i= 5 ?

Cash Flow Amount Present Value

Interest 12 ? 205.9 ? (12*17.15909)

Principle 300 ? 42.6 ? (300*0.14205)

Price of bonds 248.523 ?

I am not sure with my answers please provide with correction, thanks!