The Name's Bond is looking to raise cash to complete the development of their retail spy...

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The Name's Bond is looking to raise cash to complete the development of their retail spy store at The Amazing Brentwood. The Name's Bond decides to issue a bond to finance the building of their store. The face value of the bond is $50,000,000, which is issued on January 1, 2021. The 6% bond pays interests annually and matures in 7 years. On January 1, 2021, bonds in the market had an interest rate of 9%. What is the price that the bond is issued at on January 1, 2021? Do not round intermediary answers,. Round your final answer to the nearest dollar. Do not use $ signs in your final answer. Do not round PV factors. (There's a copy of the PV tables at the end of this exam if you need it. If you can't see the image, you can use the PV tables that I gave you in module Ch10 Long Term Liabilities). 42,449.000 The Name's Bond is looking to raise cash to complete the development of their retail spy store at The Amazing Brentwood. The Name's Bond decides to issue a bond to finance the building of their store. The face value of the bond is $50,000,000, which is issued on January 1, 2021. The 6% bond pays interests annually and matures in 7 years. On January 1, 2021, bonds in the market had an interest rate of 9%. What is the price that the bond is issued at on January 1, 2021? Do not round intermediary answers,. Round your final answer to the nearest dollar. Do not use $ signs in your final answer. Do not round PV factors. (There's a copy of the PV tables at the end of this exam if you need it. If you can't see the image, you can use the PV tables that I gave you in module Ch10 Long Term Liabilities). 42,449.000

Answer rating: 100% (QA)

Calculation of price of bonds as on 1st January2021 Since interest ... View the full answer