On January 1,2019,Broker Corp

Multiple Choice

On January 1,2019,Broker Corp.issued $3,000,000 par value 12%,10-year bonds which pay interest each December 31.If the market rate of interest was 14%,what was the issue price of the bonds? (The present value factor for $1 in 10 periods at 12% is 0.3220 and at 14% is 0.2697.The present value of an annuity of $1 factor for 10 periods at 12% is 5.6502 and at 14% is 5.2161. )

A) $3,339,084.
B) $2,843,172.
C) $3,000,000.
D) $2,686,896.