PROBLEM IV On January 2, 2007, Yenn Corporation wishes to issue 56.000.000 (par value) of its 8% 10-year bonds. The bonds pay interest semi-annually on January 1 and July 1 The current yield rate on such bonds is 12%. Using the interest factors below compute the amount that Yonn will realize from the sale (issuance of the bonds Present value of 1 at 4% for 20 periods 0.45630 Present value of 1 at 6% for 20 periods 0.31180 Present value of an ordinary annuity at 4% for 20 periods 13.5903 Present value of an ordinary annuity at 6% for 20 periods 114099 PROBLEM V On January 15, 2007, Flynn Corp. adopted a plan to accumulate funds for environmental improvements beginning July 1, 2011, at an estimated cost of $3,000,000. Flynn plans to make four equal annual deposits in a fund that will earn interest at 10% compounded annually. The first deposit was made on July 1, 2007. Future value factors are as follows: Future value of 1 at 10% for 5 periods 1.61 Future value of ordinary annuity of 1 at 10% for 4 periods 4.64 Future value of annuity due of 1 at 10% for 4 periods 5.11 Flynn should make four annual deposits of how much each? PROBLEM IV issue $6,000,000 (par value) of its 8%, semi-annually on January 1 and July 1. On January 2, 2007, Yenn Corporation wishes to issue $6,000,000 pa Tu-year bonds. The bonds pay interest semi-annually on January The current weld rate current yield rate on such bonds is 12%. Using the interest factors below: compute the amount that Yenn will realize from the sale (issuance) of the bone Present value of 1 at 4% for 20 periods 0.45639 Present value of 1 at 6% for 20 periods 0.31180 Present value of an ordinary annuity at 4% for 20 periods 13.5903 Present value of an ordinary annuity at 6% for 20 periods 11.4699