Garcia Company issues 6.00%, 15-year bonds with a par value of $330,000 and semiannual interest...
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Garcia Company issues 6.00%, 15-year bonds with a par value of $330,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 4.00%, which implies a selling price of 122 113. Confirm that the bonds' selling price is approximately correct. Use present value Table B1 and Table B.3 in Appendix B. (Round all table values to 4 decimal places, and use the rounded table values in calculations. Round your other final answers to nearest whole dollar amount.) | | Selling Price - S 403,755 Present Value Par Value x Price 30,000122 1/3 Cash Flow $330,000 par (maturity) value $9,900 interest payment Price of Bond Difference due to rounding of table values Table Value
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