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Required information P 1 0 . 9 ( Algo ) Recording and Reporting Bonds Issued at a Premium L 0 1 0 - 5 [
Required information
PAlgo Recording and Reporting Bonds Issued at a Premium L
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Cron Corporation is planning to issue bonds with a face value of $ and a coupon rate of percent. The bonds mature in five years and pay interest semiannually every June and December All of the bonds were sold on January of this year. Cron uses the effectiveinterest amortization method. Assume an annual market rate of interest of percent. FV of $ of $FVA of $ and PVA of $
Note: Use appropriate factors from the tables provided.
P Part
What amount of cash should be paid to investors June and December of this year?
tableJune December Cash paid,,
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