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Tomtit [17]
3 years ago
6

issued $200,000 of 10-year bonds on January 1. The bonds pay interest on January 1 and July 1 and have a stated rate of 10 perce

nt. If the market rate of interest at the time the bonds are sold is 12 percent, what will be the issuance price of the bonds (pick the closest answer)?
Business
1 answer:
just olya [345]3 years ago
6 0

Answer:

$177,060.16

Explanation:

The issuance price of the bonds is also known as the current price of bonds and in the bond calculation we refer this as the Present Value or PV.

Using a financial calculator, PV of the Bond is determined as :

FV =  $200,000

N = 10 x 2 = 20

P/YR = 2

PMT = ($200,000 x 10%) ÷ 2 = $10,000

I/YR = 12 %

PV = ??

Thus,

The PV is determined as $177,060.16

therefore,

The issuance price of the bonds is $177,060.16

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Which statement describes the most common characteristics of oral narratives
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Answer:

I have 3 statements

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The characteristics of oral narrations are as follows.

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6 0
3 years ago
Organizational obligations are the same as personal ethical obligations Group of answer choices True False
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Answer:FALSE

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Organisational obligations are obligations which concerns different class and set of persons working together in an organization towards achieving the goals of the organization,organisational obligations are a collection of different personal Ethical obligations which are brought together to achieve the goals of an organization.

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8 0
3 years ago
The manufacturing overhead budget at Polich Corporation is based on budgeted direct labor-hours. The direct labor budget indicat
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Answer:

Predetermined manufacturing overhead rate= $22.2 per direct labor hour

Explanation:

Giving the following information:

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<u>To calculate the predetermined manufacturing overhead rate we need to use the following formula:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

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Predetermined manufacturing overhead rate= $22.2 per direct labor hour

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