Baliga Co. produces and sells high-quality audio equipment. To finance its

RokRac

New member
Oct 23, 2011
1
0
1
operations, Baliga Co. issued? need help with this problem
can't seem to get the right answer

Baliga Co. produces and sells high-quality audio equipment. To finance its operations, Baliga Co. issued $18,000,000 of five-year, 8% bonds with interest payable semiannually at a market (effective) interest rate of 10%.

Determine the present value of the bonds payable, using the present value of $1 at compound interest table and present value of annuity of $1 at compound interest table

i got: 18,000,000*.05*.61391 + .04*18,000,000*7.72174
= 6,112,172
but its wrong
pls help
i found my mistake! :)

im not supposed to multiply the 1st number by .05 oops!
 
Back
Top