The following information pertains to San Francisco Company's issuance of bonds on July 1, 2020. Face amount P10,000,000; Term 10 years; Stated interest 8%; Interest payment dates - July 1 and January 1; rate Effective yield 12%. 4% 8.11 6% 7.36 PV of an ordinary annuity of 1 for 10 periods PV of an ordinary annuity of 1 for 20 periods PV of a single amount of 1 for 10 periods PV of a single amount of 1 for 20 periods 13.59 11.47 0.68 0.56 0.46 0.31 8% 12% PV of an ordinary annuity of 1 for 10 periods PV of an ordinary annuity of 1 for 20 periods PV of a single amount of 1 for 10 periods PV of a single amount of 1 for 20 periods 6.71 6.14 9.82 8.51 0.46 0.56 0.21 0.31 What should be the issue price for each P1,000 bond? a. P 659.60 P 768.80 P1,229.40 P1,340.40 b. С. d.

The following information pertains to San Francisco Company's issuance of bonds on July 1, 2020. Face amount P10,000,000; Term 10 years; Stated interest 8%; Interest payment dates - July 1 and January 1; rate Effective yield 12%. 4% 8.11 6% 7.36 PV of an ordinary annuity of 1 for 10 periods PV of an ordinary annuity of 1 for 20 periods PV of a single amount of 1 for 10 periods PV of a single amount of 1 for 20 periods 13.59 11.47 0.68 0.56 0.46 0.31 8% 12% PV of an ordinary annuity of 1 for 10 periods PV of an ordinary annuity of 1 for 20 periods PV of a single amount of 1 for 10 periods PV of a single amount of 1 for 20 periods 6.71 6.14 9.82 8.51 0.46 0.56 0.21 0.31 What should be the issue price for each P1,000 bond? a. P 659.60 P 768.80 P1,229.40 P1,340.40 b. С. d.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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