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Target Company issues bonds with a par value of $950,000 on their stated issue date. The bonds mature in 15 years and pay 10% annual interest in semiannual payments. On the issue date, the annual market rate for the bonds is 12%. Compute the price of the bonds as of their issue date. Cash Flow: Par (maturity Value), Interest (annuity), Price of Bonds) Find: Amount Table Value and Present Value for each.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9448079

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