On January 1, 2024, Pharoah Co. issued eight-year bonds with a face value of $5950000 and...
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On January 1, 2024, Pharoah Co. issued eight-year bonds with a face value of $5950000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31. The bonds were sold to yield 12%. Table values are: Present value of 1 for 8 periods at 10% 0.46651 Present value of 1 for 8 periods at 12% 0.40388 Present value of 1 for 16 periods at 5% 0.45811 Present value of 1 for 16 periods at 6% Present value of annuity for 8 periods at 10% Present value of annuity for 8 periods at 12% Present value of annuity for 16 periods at 5% Present value of annuity for 16 periods at 6% 0.39365 5.33493 4.96764 10.83777 10.10590 The issue price of the bonds is $5950018. $5950050. $5348723. $5358832. On January 1, 2024, Pharoah Co. issued eight-year bonds with a face value of $5950000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31. The bonds were sold to yield 12%. Table values are: Present value of 1 for 8 periods at 10% 0.46651 Present value of 1 for 8 periods at 12% 0.40388 Present value of 1 for 16 periods at 5% 0.45811 Present value of 1 for 16 periods at 6% Present value of annuity for 8 periods at 10% Present value of annuity for 8 periods at 12% Present value of annuity for 16 periods at 5% Present value of annuity for 16 periods at 6% 0.39365 5.33493 4.96764 10.83777 10.10590 The issue price of the bonds is $5950018. $5950050. $5348723. $5358832.
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