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Ultimate Butter Popcom issues 6%, 20-year bonds with a face amount of $53,000. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid semiannually. At what price will the bonds issue? (EV of $1. PV of $1. EVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided. Do not round interest rate factors. Round "Market interest rate" to 1 decimal place.) Bond Characteristics Face amount Interest payment Market interest rate Number of periods Issue price Amount $ $ 53,000 1,590

Ultimate Butter Popcom issues 6%, 20-year bonds with a face amount of $53,000. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid semiannually. At what price will the bonds issue? (EV of $1. PV of $1. EVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided. Do not round interest rate factors. Round "Market interest rate" to 1 decimal place.) Bond Characteristics Face amount Interest payment Market interest rate Number of periods Issue price Amount $ $ 53,000 1,590

FINANCIAL ACCOUNTING
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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Brief Exercise 9-20 (Algo) Calculate the issue price of bonds (LO9-7) Ultimate Butter Popcom issues 6%, 20-year bonds with a face amount of $53,000. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid semiannually. At what price will the bonds issue? (FV of $1, PV of $1. EVA of $1, and PVA of S1) (Use appropriate factor(s) from the tables provided. Do not round interest rate factors. Round "Market interest rate" to 1 decimal place.) Bond Characteristics Face amount Interest payment Market interest rate Number of periods Issue price $ $ Amount 53,000 1,590
Transcribed Image Text:Brief Exercise 9-20 (Algo) Calculate the issue price of bonds (LO9-7) Ultimate Butter Popcom issues 6%, 20-year bonds with a face amount of $53,000. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid semiannually. At what price will the bonds issue? (FV of $1, PV of $1. EVA of $1, and PVA of S1) (Use appropriate factor(s) from the tables provided. Do not round interest rate factors. Round "Market interest rate" to 1 decimal place.) Bond Characteristics Face amount Interest payment Market interest rate Number of periods Issue price $ $ Amount 53,000 1,590
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