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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
On June 30, 2007 the Watson Corporation sold $800,000 of 11% face value bonds for $761,150.96. On December 31, 2007 the Watson Corporation sold $700,000 of this same bond issue for $734,645.28. The bonds were dated January 1, 2007, pay interest semiannually on each December 31 and June 30, and are due December 31, 2014.
Required
Compute the effective yield rate on each issuance of the Watson Corporation 11% bonds.
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