Question: please explain answer so I can understand On January 1, 2021, Rare Bird Ltd, purchased 16% bonds dated January 1, 2021, with a face amount

please explain answer so I can understand

On January 1, 2021, Rare Bird Ltd, purchased 16% bonds dated January 1, 2021, with a face amount of $25 million. The bonds mature in 2031 (10 years). For bonds of similar risk and maturity, the market yield is 12%. Interest is paid semiannually on June 30 and December 31. (FV of $1. PV of $1. FVA of $1. PVA of $1. FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: Determine the price of the bonds at January 1, 2021. (Enter your answer in whole dollars.) Price of the bonds

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