i need help with this
acct exericse.
please see attached.
thanks!
Class, The following demo problems will be used to go over the learning objectives for the Time Value of Money & effective interest method for amortization of bond premium. You will need to have tables found in Appendix D of the textbook. (D4 & D6) In the video I mention pages 691 & 692. Those tables only go up to 10 periods and these demo problems need a 20 period set of tables. Please enjoy the attached video. Thanks, Michael J. Demo #1: Calculate market price of a bond. Determine the market price of a $200,000, ten-year, 10% (pays interest semiannually) bond issue sold to yield an effective rate of 12%. Demo #2: Calculate market price of a bond. On January 1, 2007 Company A issued five-year bonds with a face value of $400,000 and a stated interest rate of 12% payable semiannually on July 1 and January 1. The bonds were sold to yield 10%. Calculate the issue price of the bonds. Demo #3: Bond issue price and premium amortization. On January 1, 2007, Company B issued ten-year bonds with a face value of $1,000,000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31. The bonds were sold to yield 12%. Instructions (a) Calculate the issue price of the bonds. (b) Assume that the issue price was $884,000. Prepare the amortization table for 2007, assuming that amortization is recorded on interest payment dates. h a face value of $1,000,000 and a stated interest rate of 10%, payable semiannually on June 30 and December 31. The bonds were sold to yield 12%. Instructions (a) Calculate the issue price of the bonds. (b) Assume that the issue price was $884,000. Prepare the amortization table for 2007, assuming that amortization is recorded on interest payment dates. riod set of tables. Please enjoy the attached video. Thanks, Michael J. Demo #1: Calculate market price of a bond. Determine the market price of a $200,000, ten-year, 10% (pays interest semiannually)…
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