Present Value of bonds payable | $ 1,17,463 | ||||||||||||
Working: | |||||||||||||
# 1 | Semi annual coupon payment | = | Par Value * Semi annual coupon rate | ||||||||||
= | 105000*12%*6/12 | ||||||||||||
= | $ 6,300 | ||||||||||||
# 2 | Present Value of annuity of 1 | = | (1-(1+i)^-n)/i | Where, | |||||||||
= | (1-(1+0.045)^-10)/0.045 | i | 9%*6/12 | = | 0.045 | ||||||||
= | 7.91272 | n | 5*12/6 | = | 10 | ||||||||
# 3 | Present Value of 1 | = | (1+i)^-n | ||||||||||
= | (1+0.045)^-10 | ||||||||||||
= | 0.64393 | ||||||||||||
# 4 | Present value of coupon payment | $ 6,300 | * | 7.91272 | = | $ 49,850 | |||||||
Present Value of Par Value | $ 1,05,000 | * | 0.64393 | = | $ 67,612 | ||||||||
Total Present Value of Cash flows | $ 1,17,463 | ||||||||||||
Present Value of Bonds Payable; Premium Moss Co. issued $105,000 of five-year, 12% bonds with interest...
Present Value of Bonds Payable; Premium Moss Co. issued $105,000 of five-year, 12% bonds with interest payable semiannually, at a market (effective) interest rate of 9%. Determine the present value of the bonds payable, using the present value tables in Exhibit 8 and Exhibit 10. Note: Round to the nearest dollar. $
Present Value of Bonds Payable; Premium
Moss Co. issued $105,000 of four-year, 12% bonds, with interest
payable semiannually, at a market (effective) interest rate of
11%.
Present Value of Bonds Payable; Premium Moss Co. issued $105,000 of four-year, 12% bonds, with interest payable semiannually, at a market (effective) interest rate of 11%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7 Note: Round final answer to the nearest dollar
Present Value of Bonds Payable; Premium Moss Co. issued $440,000 of five-year, 12% bonds, with interest payable semiannually, at a market (effective) interest rate of 10%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Round to the nearest dollar.
Present Value of Bonds Payable; Premium Moss Co. issued $850,000 of five-year, 12% bonds, with interest payable semiannually, at a market (effective) interest rate of 10%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Round to the nearest dollar.
Present Value of Bonds Payable; Premium Moss Co. issued $560,000 of five-year, 12% bonds, with interest payable semiannually, at a market (effective) interest rate of 11%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Round to the nearest dollar.
Present Value of Bonds Payable; Premium Moss Co. issued $810,000 of five-year, 12 % bonds, with interest payable semiannually, at a market (effective) interest rate of 10%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Round to the nearest dollar.
Present Value of Bonds Payable; Premium Moss Co. issued $42,000,000 of five-year, 11% bonds, with interest payable semiannually, at a market (effective) interest rate of 9%. Determine the present value of the bonds payable using the present value tables in Exhibit 8 and Exhibit 10. Round to the nearest dollar.
Moss Co. issued $105,000 of five-year, 12% bonds with interest payable semiannually, at a market (effective) interest rate of 9%. Determine the present value of the bonds payable, using the present value tables in Exhibit 8 and Exhibit 10.
Present Value of Bonds Payable; Premium Moss Co. issued $101,000 of four-year, 11% bonds with interest payable semiannually, at a market (effective) interest rate of 8%. Determine the present value of the bonds payable, using the present value tables in Exhibit 8 and Exhibit 10. Note: Round to the nearest dollar. $
Present Value of Bonds Payable; Premium Moss Co. issued $480,000 of four-year, 13% bonds, with interest payable semiannually, at a market (effective) interest rate of 12%. Determine the present value of the bonds payable, using the present value tables in Exhibit 5 and Exhibit 7. Round to the nearest dollar.