On january 1 of year 1 drum line airways issued 3500000 of

Reference no: EM13608214

On January 1 of Year 1, Drum Line Airways issued $3,500,000 of par value bonds for $3,200,000. The bonds pay interest semiannually on January 1 and July 1. The contract rate of interest is 7% while the market rate of interest for similar bonds is 8%. The bond premium or discount is being amortized using the straight-line method at a rate of $10,000 every six months.The life of these bonds?

Reference no: EM13608214

Questions Cloud

Buidling an income statement tyler inc has sales of 753000 : coporate finance bookbuidling an income statement tyler inc. has sales of 753000 costs of 308000 depreciation expense

A corporation borrowed 125000 cash by signing a 5-year 9 : a corporation borrowed 125000 cash by signing a 5-year 9 installment note requiring equal annual payments each december

Three hours later the course of the hurricane suddenly : the eye of a hurricane passes over grand bahama island in a direction 60.0deg north of west with a speed of 38.0 kmh.

Find a the volumetric flow rate at inlet 1 in m3s b the : water at inlet 1 to a heat exchanger enters the heat exchanger through a circular pipe at a temperature of 200 oc a

On january 1 of year 1 drum line airways issued 3500000 of : on january 1 of year 1 drum line airways issued 3500000 of par value bonds for 3200000. the bonds pay interest

The mean annual precipitation for dilbertville is 44 in : the mean annual precipitation for dilbertville is 44 in with a standard deviation of 6.5 in. assuming the precipitation

Lopez company began operations on january 1 2010 during its : lopez company began operations on january 1 2010. during its first two years the company completed a number of

The inlet of the bend is 50 cm above the exit neglecting : water flowing in a horizontal 30 cm diameter pipe at 5 ms and 300 kpa gage enters a 90o bend reducing section which

Test the claim using a hypothesis test test the claim by : test the given claim. identify the null hypothesis alternative hypothesis test statistic p-value or critical value

Reviews

Write a Review

Required(*) Message

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?

Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

Accounting problems

Accounting problems, Draw a detailed timeline incorporating the dividends, calculate the exact Payback Period b) the discounted Payback Period. the IRR, the NPV, the Profitability Index.

Theory of interest - term structure of interest rates

Term Structure of Interest Rates

Write a report on internal controls

Write a report on Internal Controls

Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

Liquidity and profitability

Distinguish between liquidity and profitability.

What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

Capm and venture capital

CAPM and Venture Capital

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

User Account

All Pages