TIME VALUEAn Iowa state savings bond can be converted to $250 at maturity 7 years from purchase.If the state bonds are to be competitive with U.S. savings bonds, which pay 8% annual interest (compounded annually), at what price must the state sell its bonds.?Assume no cash payments on savings bonds prior to redemption.Ignore Taxes.

The state must sell its bonds for $ __________. ( Round to the nearest cent. )

COULD YOU PLEASE PROVIDE AN EXCEL Example?

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