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Question 16 (1 point) On January 1, 2021, Anne Teak Furniture issued $100,000 of 8% bonds, dated January 1. Interest is payabO $86,711. O $85,666. O $87,538. O $87,711.

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Answer #1

Issue price of bonds = Present value of interest+Present value of maturity

= (100000*4%*12.46221)+(100000*0.37689)

Issue price of bonds = 87538

So answer is c) $87538

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