What is the present value of the bonds on the issue date

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On January 2, 2008, Sanborn Corporation issued 20 year bonds with a face value of $200,000 and 8% face interest, payable semi-annually. The bonds were issued to yield an effective interest rate of 10% (the market rate). What is the present value of the bonds on the issue date? (How much cash will Sanborn Corp receive on the issue date) Show your computations.

Reference no: EM131285764

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