A $150,000 issue of five-year bonds redeemable at par offers 6.09% coupons payable monthly. What is the premium or discount and the purchase price of the bonds to yield 8.7% co (a) The ▼is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (b) The purchase price of the bond is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

A $150,000 issue of five-year bonds redeemable at par offers 6.09% coupons payable monthly. What is the premium or discount and the purchase price of the bonds to yield 8.7% co (a) The ▼is $. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.) (b) The purchase price of the bond is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter11: Notes, Bonds, And Leases

Section: Chapter Questions

Problem 17E

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Question

A. premium or discount and $?

B. $?

A $150,000 issue of five-year bonds redeemable at par offers 6.09% coupons payable monthly. What is the premium or discount and the purchase price of the bonds to yield 8.7% compounded semi-annually?
K
(a) The
is $
(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
(b) The purchase price of the bond is $
(Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)

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