Table values are based on: | |||
n = | 30 | ||
i= | 7% | ||
Cash flow | Amount | Present value | |
Interest | 6000000 | 74454240 | =6000000*12.40904 |
Principal | 100000000 | 13137000 | =100000000*0.13137 |
Price of Bonds | 87591240 |
On December 31, 2018, Interlink Communications issued 6% stated rate bonds with a face amount of $100 million. The bon...
On December 31, 2018, Interlink Communications issued 6% stated rate bonds with a face amount of $112 million. The bonds mature on December 31, 2048. Interest is payable annually on each December 31, beginning in 2019. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Determine the price of the bonds on December 31, 2018, assuming that the market rate of interest for...
On December 31, 2021, Interlink Communications issued 6% stated rate bonds with a face amount of $107 million. The bonds mature on December 31, 2051. Interest is payable annually on each December 31, beginning in 2022. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Determine the price of the bonds on December 31, 2021, assuming that the market rate of interest for...
On December 31, 2018, Interlink Communications issued 6% stated rate bonds with a face amount of S100 million. The bonds mature on December 31,2048. Interest is payable annually on each December 31, beginning in 2019. Part Ji Determine the price of the bonds on December 31, 2018, assuming that the market rate of interest for similar bonds was 790. Part 2: Assuming the bonds were issues on December 31, 2018, prepare the journal entry to record the issuance on December...
On December 31, 2021, Interlink Communications issued 5% stated rate bonds with a face amount of $115 million. The bonds mature on December 31, 2051. Interest is payable annually on each December 31, beginning in 2022. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Determine the price of the bonds on December 31, 2021, assuming that the market rate of interest for...
The Bradford Company issued 12% bonds, dated January 1, with a face amount of $92 million on January 1, 2021. The bonds mature on December 31, 2030 (10 years). For bonds of similar risk and maturity, the market yield is 14%. Interest is paid semiannually on June 30 and December 31. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. Determine...
On September 30, 2021, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of $340 million. The bonds mature on September 30, 2041 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. ((FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: Determine the price of...
Brief Exercise 5-12 (Algo) Price of a bond (L05-10) On December 31, 2021, Interlink Communications issued 5% stated rate bonds with a face amount of $111 million. The bonds mature on December 31, 2051. Interest is payable annually on each December 31, beginning in 2022. (FV of $1. PV of $1. EVA of $1. PVA of S1 FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Determine the price of the bonds on December 31,...
The Bradford Company issued 8% bonds, dated January 1, with a face amount of $80 million on January 1, 2021 to Saxton-Bose Corporation. The bonds mature on December 31, 2030 (15 years). For bonds of similar risk and maturity, the market yield is 10%. Interest is paid semiannually on June 30 and December 31. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)...
On June 30, 2021, Singleton Computers issued 6% stated rate bonds with a face amount of $200 million. The bonds mature on June 30, 2036 (15 years). The market rate of interest for similar bond issues was 5% (2.5% semiannual rate). Interest is paid semiannually (3%) on June 30 and December 31, beginning on December 31, 2021. (EV of $1, PV of $1. EVA of $1. PVA of $1. FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from...
On June 30, 2021, Singleton Computers issued 6% stated rate bonds with a face amount of $200 million. The bonds mature on June 30, 2036 (15 years). The market rate of interest for similar bond issues was 4% (2.0% semiannual rate). Interest is paid semiannually (3.0%) on June 30 and December 31, beginning on December 31, 2021. EV of SI. PV of SL EVA Of SI. PVA Ol SL FVAD of S] and PVAD (Use appropriate factor(s) from the tables...