A company issues $15,500,000, 9.8%, 20-year bonds with a yield of 10% on January 1, 2017. Interest is paid on June 30 and December 31. The product of the bonds is $15234034. Using effective interest amortization, what will be the book value of the bonds on the balance sheet as of December 31, 2017?

Answer rating: 100% (QA)

First we need to calculate the semiannual coupon payment which is half of the annual coupon rate mul... View the full answer