On January 1, 2022, Broker Corporation issued $2,400,000 par value 11% coupon rate, 11-year bonds which...

  

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On January 1, 2022, Broker Corporation issued $2,400,000 par value 11% coupon rate, 11-year bonds which pay interest each December 31. If the market rate of interest was 13%, what was the issue price of the bonds? (The present value factor for $1 in 11 periods at 11% is 0.3173 and at 13% is 0.2607. The present value of an annuity of $1 factor for 11 periods at 11% is 6.2065 and at 13% is 5.6869.) On January 1, 2022, Broker Corporation issued $2,400,000 par value 11% coupon rate, 11-year bonds which pay interest each December 31. If the market rate of interest was 13%, what was the issue price of the bonds? (The present value factor for $1 in 11 periods at 11% is 0.3173 and at 13% is 0.2607. The present value of an annuity of $1 factor for 11 periods at 11% is 6.2065 and at 13% is 5.6869.)