On January 1, 2007, Grant Co The Total Issue Price of the Bonds Was
A)$2,000,000

Multiple Choice

On January 1, 2007, Grant Co.issued ten-year bonds with a face amount of $2,000,000 and a stated interest rate of 8% payable annually on January 1.The bonds were priced to yield 10%.Present value factors are as follows: $\begin{array}{lll}&\text { At 8\% } & \text { At 10\% }\\\text { Present value of } 1 \text { for } 10 \text { periods } & 0.463 & 0.386 \\\text { Present value of an ordinary annuity of } 1 \text { for } 10 \text { periods } & 6.710 & 6.145\end{array}$ The total issue price of the bonds was

A) $2,000,000.
B) $1,960,000.
C) $1,840,000.
D) $1,755,200.