Kirby railroad co is about to issue 300000 of 10-year bonds

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Kirby Railroad Co. is about to issue $300,000 of 10-year bonds paying a 9% interest rate, with interest payable semiannually. The discount rate for such securities is 8%.

How much can Kirby expect to receive for the sale of these bonds?

Future Value of                                1: 1.16640

Future Value of an Annuity of           1: 2.08000

Present Value of                               1: .85734

Present Value of an Annuity of         1: 1.78326

Reference no: EM13567097

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