Present Value of Bonds Payable; Premium

Mason Co. issued $470,000 of five-year, 13% bonds with interest payable semiannually, at a market (effective) interest rate of 11%.

Determine the present value of the bonds payable, using the present value tables in Exhibit 4 and Exhibit 5. Round to the nearest dollar. $

EXHIBIT 5 Present Value of an Annuity of $1 at Compound Interest 42% 0.95694 10% 58 0.90909 0. Periods 1396 5%% 0.94787 7% 0.93458 12% 0.89286 11% 4% 0.96154 596 0.95238 6% 0.94340 .90090 0.88496 1.88609 .872671.85941 1.84632 1.83339 1.80802 1.735541.71252 .69005 .66810 2.77509 2.748962.72325 2.69793 2.67301 2.62432 2.48685 2.44371 2.40183 236115 3.545953.50515 3.46511 3.38721 3.16987 3.10245 3.03735 2.97447 4.45182 4.389984.32948 4.27028 4.21236 4.10020 3.790793.69590 3.60478 3.51723 5.242145.157875.07569 4.99553 4.91732 4.766544.35526 4.23054 4.11141 3.99755 6.00205 5.89270 5.78637 5.68297 5.58238 5.38929 4868424.71220 4.56376 4.42261 6.73274 6.59589 6.46321 6.334576.20979 5.97130 5.33493 5.14612 4.967644.79677 7.10782 6.95220 6.80169 6.51523 5.75902 5.53705 5.32825 5.13166 7.72173 7.53763 7.36009 7.02358 6.14457 5.88923 5.65022 5.42624 4 3.62990 3.58753 6 7.26879 7.91272 7.43533 8.11090