please ansert the following questions thanks Kingbird Inc. manufactures cycling equipment. Recently, the company's vice-president of operations has requested construction of anew plant to meet the increasing demand for the company's bikes. After a careful evaluation of the request, the board of directors hasdecided to raise funds for the new plant by issuing $2,250,000 of 11% term corporate bonds on March 1, 2023, due on March 1, 2037,with interest payable each March 1 and September 1. At the time of issuance, the market interest rate for similar financial instrumentsis 10%.(a)As Kingbird's controller, determine the selling price of the bonds. (Round present value factor calculations to 5 decimal places, e.g.1.25124 and final answer to O decimal places, e.g. 5,275.)Click here to view the factor table PRESENT VALUE OF 1.Click here to view the factor table PRESENT VALUE OF AN ANNUITY OF 1.Selling price of the bonds $

Organizations offer bonds to investors in order to acquire capital, and in exchange, the…

Answered: Kingbird Inc. manufactures cycling…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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