Part 2 On October 1, ET Inc. has available for issue a $298,000 bond due in eight years. Interest at the rate of 4.0% is to be paid semiannually. Calculate the issue price if the market interest rate is: (Do not round intermediate calculations. Round the final answers to 2 decimal places.) Market Interest Issue Price of the Bonds Rate 3% b. 4% C. 4.75%
Part 2 On October 1, ET Inc. has available for issue a $298,000 bond due in eight years. Interest at the rate of 4.0% is to be paid semiannually. Calculate the issue price if the market interest rate is: (Do not round intermediate calculations. Round the final answers to 2 decimal places.) Market Interest Issue Price of the Bonds Rate 3% b. 4% C. 4.75%
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Part 2
On October 1, ET Inc. has available for issue a $298,000 bond due in eight years. Interest at the rate of 4.0% is to be paid
semiannually. Calculate the issue price if the market interest rate is: (Do not round intermediate calculations. Round the final
answers to 2 decimal places.)
Market Interest Issue Price of the
Bonds
Rate
3%
b.
4%
C.
4.75%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0237e505-3eab-48e2-b0d8-e96aba9bdd7e%2F68ecd095-886d-4edf-9888-1e67d9bfe915%2Ff2giryp_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Part 2
On October 1, ET Inc. has available for issue a $298,000 bond due in eight years. Interest at the rate of 4.0% is to be paid
semiannually. Calculate the issue price if the market interest rate is: (Do not round intermediate calculations. Round the final
answers to 2 decimal places.)
Market Interest Issue Price of the
Bonds
Rate
3%
b.
4%
C.
4.75%
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