Interest payable semi-annually at an effective interest rate

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Wisconsin Warning Co. issued $5,000,000 of five-year, 8 % bonds with interest payable semi-annually at an effective interest rate of 11 %. It was determine the present value of the bonds payable were $ 4,434,520

Alabama Alarm Co. issued $4,000,000 of 7 year, 12% bonds with interest payable semiannually at an effective interest rate of 10%. It was determine the present value of the bonds payable were $ 4,396,064

Using the information above, which of the two investments do you recommend that our company, Sixpack Inc. invest in? Why should we invest in your choice?

Reference no: EM13747796

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Interest payable semi-annually at an effective interest rate : Wisconsin Warning Co. issued $5,000,000 of five-year, 8 % bonds with interest payable semi-annually at an effective interest rate of 11 %. It was determine the present value of the bonds payable were $ 4,434,520

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