Use the following tables to calculate the present value of a $681,000, 6%, 5-year bond that...

 

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Use the following tables to calculate the present value of a $681,000, 6%, 5-year bond that pays $40,860 ($681,000 x 6%) interest annually, if the market rate of interest is 7%. Present Value of $1 at Compound Interest Periods 5% 1 2 3 4 5 6 7 8 9 10 6% 7% 0.95238 0.94340 0.93458 0.90909 0.90703 0.89000 0.87344 0.82645 0.86384 0.83962 0.81630 0.75131 0.82270 0.79209 0.76290 0.68301 0.78353 0.74726 0.71299 0.62092 0.74622 0.70496 0.66634 0.56447 0.71068 0.66506 0.62275 0.51316 0.67684 0.62741 0.58201 0.46651 0.64461 0.59190 0.54393 0.42410 0.61391 0.55839 0.50835 0.38554 10% Present Value of Annuity of $1 at Compound Interest Periods 5% 6% 0.94340 0.93458 1.83339 1.80802 2.72325 2.67301 2.62432 3.54595 3.46511 4.32948 5.07569 4.91732 4.76654 5.78637 5.58238 5.38929 6.46321 6.20979 5.97130 9 7.10782 6.80169 6.51523 10 7.72173 7.36009 7.02358 19 1 2 3 4 5 6 7 8 0.95238 1.85941 4.21236 7% 3.38721 4.10020 10% 0.90909 1.73554 2.48685 3.16987 3.79079 4.35526 4.86842 5.33493 5.75902 6.14457 Round your intermediate calculations and final answer to the nearest whole dollar. Use the following tables to calculate the present value of a $681,000, 6%, 5-year bond that pays $40,860 ($681,000 x 6%) interest annually, if the market rate of interest is 7%. Present Value of $1 at Compound Interest Periods 5% 1 2 3 4 5 6 7 8 9 10 6% 7% 0.95238 0.94340 0.93458 0.90909 0.90703 0.89000 0.87344 0.82645 0.86384 0.83962 0.81630 0.75131 0.82270 0.79209 0.76290 0.68301 0.78353 0.74726 0.71299 0.62092 0.74622 0.70496 0.66634 0.56447 0.71068 0.66506 0.62275 0.51316 0.67684 0.62741 0.58201 0.46651 0.64461 0.59190 0.54393 0.42410 0.61391 0.55839 0.50835 0.38554 10% Present Value of Annuity of $1 at Compound Interest Periods 5% 6% 0.94340 0.93458 1.83339 1.80802 2.72325 2.67301 2.62432 3.54595 3.46511 4.32948 5.07569 4.91732 4.76654 5.78637 5.58238 5.38929 6.46321 6.20979 5.97130 9 7.10782 6.80169 6.51523 10 7.72173 7.36009 7.02358 19 1 2 3 4 5 6 7 8 0.95238 1.85941 4.21236 7% 3.38721 4.10020 10% 0.90909 1.73554 2.48685 3.16987 3.79079 4.35526 4.86842 5.33493 5.75902 6.14457 Round your intermediate calculations and final answer to the nearest whole dollar.

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