Determining the selling Price Jet company desires to sell $100,000 of 5-year bonds paying semiannual interest with a stated rate of 12% The current effective interest rate is 14% Present value of principal ($100,000×0.508349) $50.834.90 Present value of interest ($6,000x7.023582) 42.14149 $92976.39 Less face value (100.00000 Discount 身 $7,023.61
Determining the Selling Price Jet Company desires to sell $100,000 of 5-year bonds paying semiannual interest with a stated rate of 12%. The current effective interest rate is 14%. Present value of principal ($100,000 x 0.508349) $ 50,834.90 Present value of interest ($6,000 x 7.023582) 42,141.49 $ 92,976.39 Less face value (100,000.00) Discount $ 7,023.61 Intermediate Accounting 11 Long-term Liabilities And Receivables
Long-term Liabilities And Receiva Determining the selling Price paying semiannual interest with a stated rate of n2% Jet Company desires to sell $100,000 of 5-year bonds The bonds are sold to yield 14% interest Present value of principal ($100,000X0.613913) $61,391.30 Present value of interest ($6,000x7.721735) 46,330.4 $107,721.71 ess face value (1o000000) Premium 身 $7,721.71
Determining the Selling Price Jet Company desires to sell $100,000 of 5-year bonds paying semiannual interest with a stated rate of 12%. The bonds are sold to yield 14% interest. Present value of principal ($100,000 x 0.613913) $ 61,391.30 Present value of interest ($6,000 x 7.721735) 46,330.41 $107,721.71 Less face value (100,000.00) Premium $ 7,721.71 Intermediate Accounting 11 Long-term Liabilities And Receivables