Price of the bonds as issue date

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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.

Reference no: EM13157943

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Price of the bonds as issue date : 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..

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