On january 2 2008 sanborn corporation issued 20 year bonds


On January 2, 2008, Sanborn Corporation issued 20 year bonds with a face value of $200,000 and 8% face interest, payable semi-annually. The bonds were issued to yield an effective interest rate of 10% (the market rate). What is the present value of the bonds on the issue date? (How much cash will Sanborn Corp receive on the issue date) Show your computations.

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Financial Accounting: On january 2 2008 sanborn corporation issued 20 year bonds
Reference No:- TGS01688506

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