Question $19$ of $23$

$\frac{-}{1}$

View Policies

Current Attempt in Progress

On January $1,2023,$ Marigold Corporation purchased a newly issued $$1,200,000$ bond. The bond matured on December $31,2025,$ and paid interest at $6\%$ every June $30$ and December $31.$ The market interest rate was $8\%.$ Marigold's fiscal year$-$end is October $31,$ and the company had the intention and ability to hold the bond until its maturity date. The bond will be accounted using the amortized cost model.

Click here to view Table A$\mathrm{.}2-$ PRESENT VALUE OF $1-($PRESENT VALUE OF A SINGLE SUM$)$

Click here to view Table A$\mathrm{.}4-$ PRESENT VALUE OF AN ORDINARY ANNUITY OF $1$

$($a$)$

Calculate the price paid for the bond using a financial calculator or Excel functions. $($Round answers to $2$ decimal places, eg$.52\mathrm{.}75.)$

PV $ $$