On December 31, 2024, a company issued 6% stated rate bonds with a face amount...
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Accounting
On December 31, 2024, a company issued 6% stated rate bonds with a face amount of $119 million. The bonds mature on December 31, 2054. Interest is payable annually on each December 31, beginning in 2025.
Determine the price of the bonds on December 31, 2024, assuming that the market rate of interest for similar bonds was 7%.
Note: Use tables, Excel, or a financial calculator. Enter your answers in whole dollars and not in millions. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1)
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