You run a company and decide to issue 12% bond, dated January 1, with a face value of $9,200,000 on January 1, 2023. The maturity date is December 31, 2032 (10 years). For bonds of similar risk and maturity, the market yield is 14 %. You want to pay coupon semiannually on June 30 and December 31. What is the issue price of yourbond? (Round your answer in whole dollars.)

The issue price of your bond is approximately $8,225,351.Explanation:Face value (F) =…

Answered: You run a company and decide to issue…

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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