User Account

All Pages

Calculate the issue price of the bonds

Assignment Help Accounting Basics
Reference no: EM132614941

Question - On January 1, 2020 Pharoah Co. issued five-year bonds with a face value of $530,000 and a stated interest rate of 12% payable semiannually on July 1 and January 1. The bonds were sold to yield 10%.

Present value table factors are:

Present value of 1 for 5 periods at 10% 0.62092

Present value of 1 for 5 periods at 12% 0.56743

Present value of 1 for 10 periods at 5% 0.61391

Present value of 1 for 10 periods at 6% 0.55839

Present value of an ordinary annuity of 1 for 5 periods at 10% 3.79079

Present value of an ordinary annuity of 1 for 5 periods at 12% 3.60478

Present value of an ordinary annuity of 1 for 10 periods at 5% 7.72173

Present value of an ordinary annuity of 1 for 10 periods at 6% 7.36009

Required - Calculate the issue price of the bonds.

Reference no: EM132614941

Questions Cloud

Calculate the atomic weight of the element m : Calculate the atomic weight of the element M and identify the metal.
How demonstrate what is the value of the bond : Face value of $300 000 and 5 years to maturity. Interest accrues on the bond quarterly. If the required return is 8% p.a., what is the value of the bond?
What recommended changes would you make for each statement : What recommended changes (identify at least one change for each statement) would you make for each statement and why? Please note that you are not evaluating.
Employee motivation : Compare and contrast two of the five types of employee training presented in the textbook.
Calculate the issue price of the bonds : On January 1, 2020 Pharoah Co. issued five-year bonds with a face value of $530,000. Calculate the issue price of the bonds
Explain the meaning of coupon : Explain the meaning of 'coupon' and describe how coupon payments are calculated for a fixed interest bond. Describe the role of variables
Training programs : Evaluate two differences between various training and professional development programs in terms of the effects
Evaluate the words of the mission and vision statements : Consider your company or one that you know well and evaluate the words of their mission and vision statements. You must include the company's mission.
What is the ef : When a sample of vanillin weighing 2.50g burns in oxygen, 5.79 g of carbon dioxide and 1. 18 g of water are obtained. What is the EF?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Tax gain allocation between two partners

If the partnership sells the property contributed by Desmond for $360,000, how is the tax gain allocated between the two partners?"

  What is their american opportunity tax credit

They have not taken advantage of any other type of tax benefit related to educational expenses. What is their American Opportunity Tax credit

  Prepare income statement in accordance with variable costing

On January 1 of the current year, C. F. Hartley Co. commenced operations. Prepare an income statement in accordance with variable costing

  Problem regarding the mutual funds

A mutual fund manager claims that at least 70% of the stocks she selects will increase in price over the next year. We examined a sample of 200 of her selections over the past three years. Our P-value turns out to be 0.03. Test an appropriate hypo..

  Khiem inc manufactures baseball gloves that normally sell

khiem inc. manufactures baseball gloves that normally sell for 55 each. khiem currently has 400 defective gloves in

  Determine the total cost equation

If unknown function of short-term costs by using the average variable cost is shown, Determine the total cost equation and the short-term marginal cost

  Compute august cash disbursements for manufacturing overhead

The August cash disbursements for manufacturing overhead on the manufacturing overhead budget should be

  Method best tracks the wear and tear on the van

BagODonuts Company bought a used delivery truck on January 1, 2010, for $19,200. The van was expected to remain in service 4 years (30,000 miles). BagODonutsAc€?c accountant estimated that the truckAc€?cs residual value would be $2,400 at the end ..

  How much overhead would be assigned to a product

If 81,000 direct labor hours are planned for this next year, how much overhead would be assigned to a product requiring 4 direct labor hours

  Calculate accounting income

January 02, 20X1 - Purchased 25 units for resale at $5,100 each. Calculate accounting income, based on transactions for 20X1 through 20X3

  Aunt ethels fancy cookie company manufactures and sells

problem 1. aunt ethels fancy cookie company manufactures and sells three flavors of cookies macaroon sugar and

  When should surfing usa co record the sale

When should Surfing USA Co. record the sale and suppose that with his purchase order, Finley is required to make a down payment.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd