PQRCorpissued5-yearbondswithafacevalueof$300,000onJanuary1st,2023, with a stated interest rate of 5% payable semi-annually. The market interest rate at the time

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Question:

PQR Corp issued 5-year bonds with a face value of $300,000 on January 1st, 2023, with a stated interest rate of 5% payable semi-annually. The market interest rate at the time of issuance was 4%. Calculate: a) Issue price of the bonds. b) Total interest expense over the life of the bonds. c) Carrying amount of the bonds after two

semi-annual interest payments.