Selling bonds.Rawlings needs to raise

$40,500,000

for its new manufacturing plant in Jamaica. Berkman Investment Bank will sell the bond for a commission of

2.9%.

The market yield is currently

7.5%

on twenty-year zero-coupon bonds. If Rawlings wants to issue a zero-coupon bond, how many bonds will it need to sell to raise the

$40,500,000?

Assume that the bond is semiannual and issued at a par value of

$1,000.

Question content area bottom

Part 1

How many bonds will Rawlings need to sell to raise the

$40,500,000?

enter your response here

(Round to the nearest whole number.)