Seaside issues a bond that has a stated interest rate of 10% , face amount of $50,000, and is due in 6 years. Interest payments are made semi- annually. The market rate for this type of bond is 12%. What is the issue price of the bond? (EV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Multiple Choice O O O O $45,809. $50,000. $74,849. $81,049.
Seaside issues a bond that has a stated interest rate of 10% , face amount of $50,000, and is due in 6 years. Interest payments are made semi- annually. The market rate for this type of bond is 12%. What is the issue price of the bond? (EV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Multiple Choice O O O O $45,809. $50,000. $74,849. $81,049.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Seaside issues a bond that has a stated interest rate of 10%, face amount of $50,000, and is due in 6 years. Interest payments are made semi-
annually. The market rate for this type of bond is 12%. What is the issue price of the bond? (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.)
Multiple Choice
O
O
O
$45,809.
$50,000.
$74,849.
$81,049.
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