Barnwell Corp. purchased fifteen $1,000 6% bonds of Voltgo Corporation when the market rate of interest...

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Barnwell Corp. purchased fifteen $1,000 6% bonds of Voltgo Corporation when the market rate of interest was 8%. Interest is paid semiannually, and the bonds will mature in eight years. Using the PV function in Excel, compute the price Barnwell paid (the present value) for the bond investment. (Assume that all payments of interest and principal occur at the end of the period. Round your answer to the nearest cent.) Barnwell paid 883.5 on the bond investment. Barnwell Corp. purchased fifteen $1,000 6% bonds of Voltgo Corporation when the market rate of interest was 8%. Interest is paid semiannually, and the bonds will mature in eight years. Using the PV function in Excel, compute the price Barnwell paid (the present value) for the bond investment. (Assume that all payments of interest and principal occur at the end of the period. Round your answer to the nearest cent.) Barnwell paid 883.5 on the bond investment.

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Answer To calculate the present value of the bond investment using the PV ... View the full answer