PUMA company has outstanding a 12% (Coupon rate) bond issue with a face value of 5000,000 and 8years to maturity. interest payable annually. The bonds are privately held by ZSIC life limited. ZSIC wishes to sell the bonds and is negotiating with another party. It estimates that in current market conditions the bonds should provide nominal annual return of 18%. What price should be realised on the sale? Compute the value of the bond and show your workings