Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. marigold limited issued $1,400,000 of 10 -year, 6%

Marigold Limited issued $1,400,000 of 10 -year, 6% bonds on January 1,2024, when the market...

70.2K

Verified Solution

Question

Accounting

image
Marigold Limited issued $1,400,000 of 10 -year, 6% bonds on January 1,2024, when the market interest rate was 7%. Marigold received $1,300,519 when it isfued these bonds. Interest is payble semi-annually on July 1 and January 1 Marigold has a December 31 year end. Click here to view factor tables. (a) What is the bonds' present value (issue price) on January 1,2024? (For calculation purposes, use 5 decimal places as displayed in the factor table provided, es. 0.23465, Round answers to 0 decimal places, es. 5.275.) Bonds' present value (issue price) on January 1.2024 $

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students