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A company issues bonds with a par value of $800,000 on their issue date. The...

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Accounting

A company issues bonds with a par value of $800,000 on their issue date. The bonds mature in 5 years and pay 6% annual interest in two semiannual payments. On the issue date, the market rate of interest is 8%. Compute the price of the bonds on their issue date. $864,858 $800,000 $735,142 $736,464

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