What is the bonds issue selling price

Assignment Help Financial Management
Reference no: EM132316385

Question

Marwick Corporation issues 8%, 5 year bonds with a par value of $1,100,000 and semiannual interest payments.

On the issue date, the annual market rate for these bonds is 6%. What is the bond's issue (selling) price, assuming the following Present Value factors:

1n= 
i=
Present Value of an Annuity (series of payments) (Present value of 1 single sum)

5

8%

3.9927

0.6806

10

4%

8.1109

0.6756

5

6%

4.2124

0.7473

10

3%

8.5302

0.7441

Reference no: EM132316385

Questions Cloud

What are top five healthcare consulting opportunities : What are top five healthcare consulting opportunities that exist at the present time and that will probably develop under the Affordable Care Act
What you would say to the suspect during the interview : Based on authoritative sources (including peer-reviewed articles from the library, Fraud Examiners Manual, Big 4 CPA firms, ACFE (e.g., Report to the Nations).
What are the steps of building a project team : What are the steps of building a project team and are there differences?
What is activity duration estimation : What is Activity Duration Estimation? and what is its purpose?
What is the bonds issue selling price : On the issue date, the annual market rate for these bonds is 6%. What is the bond's issue selling price, assuming the following Present Value factors.
Event-driven estimation versus fixed-duration estimation : What is the difference or compare and contrast of Event-Driven Estimation versus Fixed-Duration Estimation Activities?
Differences between universal and means-tested programs : Describe the differences between universal and means-tested programs. What are the arguments for and against universal and means-tested programs.
Difference of planning and scheduling : What is the difference of planning and scheduling?
Develop and implement a strategic plan : Define the Product or Services based on which Academies Australasia is proposing to expand their business at Perth - The key HRM policies of the business

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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!

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