Tableau Dashboard Activity 10-2 LO 10-2, 10-4, 10-5

Gustavo Corporation is planning to issue bonds with a face value of $150,000 and a coupon rate of 5 percent. The bonds mature in seven years. Interest is paid annually on December 31. Use the dashboard below to address the required questions:

Bond Issue Prices

Market Rate

Tableau Dashboard Activity 10-2 LO 10-2, 10-4, 10-5 Gustavo Corporation is planning to issue bonds with a face value of $150,000 and a coupon rate of 5 percent. The bonds mature in seven years. Interest is paid annually on December 31 . Use the dashboard below to address the required questions: Present Value of Principal Sresent Value of interest Payments Bond Issue Prices Required: Determine the (issue) price on January 1 of this year for each of the following independent cases and determine if the bond was issued at face value, at a discount, or at a premium: a. Case A: b. Case B: c. Case C: d. Case D