On December 31, 2011, Interlink Communications issued 6% stated rate bonds with a face amount of $100

Question:

On December 31, 2011, Interlink Communications issued 6% stated rate bonds with a face amount of $100 million. The bonds mature on December 31, 2041. Interest is payable annually on each December 31, beginning in 2012. Determine the price of the bonds on December 31, 2011, assuming that the market rate of interest for similar bonds was 7%.