What is expected selling price of the bonds

Assignment Help Financial Accounting

Reference no: EM13142320

Stech Co. is issuing $6.5 million 12% bonds in a private placement on July 1, 2012. Each $1,000 bond pays interest semi-annually on December 31 and June 30 of each year. The bonds mature in ten years. At the time of issuance, the market interest rate for similar types of bonds was 8%. What is the expected selling price of the bonds?

Reference no: EM13142320

Questions Cloud

Determine cost assigned to ending inventory : Determine the cost assigned to ending inventory and to cost of goods sold using LIFO. (Do not round interim calculations. Round per unit costs to three decimals. Round your answers to the nearest dollar amount.)

How many grams of potassium hydroxide must be used : To prepare 5.0 L of a 3.50 M solution of Potassium Hydroxide (KOH), how many grams of Potassium Hydroxide must be used?

Difference between a selected and a counterselected marker : What is the difference between a selected marker and a counterselected marker? Why are both necessary in an Hfr X F- mating?

Estimated cost of merchandise inventory : On the basis of the following data, what is the estimated cost of the merchandise inventory on May 31 by the retail method?

What is expected selling price of the bonds : The bonds mature in ten years. At the time of issuance, the market interest rate for similar types of bonds was 8%. What is the expected selling price of the bonds?

Job order costing systems : Which of the following industries would normally use job order costing systems and which would normally use process costing systems?

Distinguish a body cavity : Distinguish a body cavity (i.e., coelom) from an alimentary canal in terms of embryonic tissues of origin and relative position in the adult animal's body.

Determine the length of an order cycle : She knows that each order for these bills costs $300 for clerical and armored car delivery costs, and that order lead time is six days. Assuming a thirty-day month, if she were to order 6,000 bills at a time, what would be the length of an order cy..

What portion of a current and long-term liability in kiley : This deposit will not be returned to Dodd upon expiration of the lease but will be applied to payment of rent for the last two years of the lease. What portion of the $400,000 should be shown as a current and long-term liability in Kiley's Decembe..

User Account

All Pages