Deltona motors just issued 230,000 zero-coupon bonds. these bonds mature in 18 years, have a par value of $1,000, and have a yield to maturity of 5.9 percent. what is the approximate total amount of money the company raised from issuing these bonds?

$80,757,600

Explanation:

In this question, we use the present value formula which is shown in the spreadsheet.  

The NPER represents the time period.

Given that,  

Future value = $1,000

Rate of interest = 5.9%  ÷ 2 = 2.95%

NPER = 18 years  × 2 = 36 years

PMT = $0

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

So, after solving this, the present value would be $351.12

Now the approximate total money would be

= Number of issued zero coupon bonds × present value

= 230,000 bonds × $351.12

= $80,757,600

Quackwatch.com an expert in medical communications, dr. barrett operates 23 web sites; co-edits consumer health digest (a free weekly electronic newsletter); and has been a peer-review panelist for several top medical journals. he has written thousands of articles and delivered more than 300 talks at colleges, universities, medical schools, and professional meetings. his 52 books include the health robbers: a close look at quackery in america and eight editions of the college textbook consumer health: a guide to intelligent decisions. one book he edited, vitamins and minerals: or harm? , by charles marshall, ph.d., won the american medical writers association award for best book of 1983 for the general public and became a special publication of consumer reports books. his other classics include dubious cancer treatment, published by the florida division of the american cancer society; health schemes, scams, and frauds, published by consumer reports books; the vitamin pushers: how the "health food" industry is selling america a bill of goods, published by prometheus books; and reader's guide to "alternative" health methods, published by the american medical association. from 2012 through 2016, he served as north american co-editor of the journal focus on alternative and complementary therapy (fact). his media appearances have included dateline, the today show, good morning america, abc prime time, donahue, cnn, national public radio, and more than 200 radio and television talk show interviews.