74 THE FISCAL PROBLEM IN MISSOURI 
premium receipts for the ten series therefore amounted to 
$296,041. In other words, Missouri received $60,296,041 for 
the ten series, not counting the accumulated interest from 
the date borne by the bonds until the date of sale. This 
indicates that those responsible for determining the coupon 
rate of interest were successful in appraising the market 
situation. It was desirable that the bonds should be mar- 
keted at a rate that would preclude the possibility of a con- 
siderable net discount for the ten series as a unit, and this 
result was achieved. 
The maturity dates on the several series were adjusted in 
such a manner as to correlate with the estimated receipts for 
redemption purposes. The limitations contained in the 
constitutional amendment authorizing the indebtedness 
were, ofe course, observed. Table 24 indicates that the 
maturity dates for the ten series varied between Dec. 1, 
1923, and June 1, 1947, and that the maximum amount 
maturing on any one date is $3 million, as compared with a 
minimum of $500,000. It would probably be too much to 
expect that the entire issue could be redeemed without any 
refinancing, for this could occur only if the future financial 
situation had been perfectly appraised by those responsible 
for the determination of the maturity dates. Nevertheless, 
it is clear that every attempt was made to minimize the 
burden of the redemption payments required on any given 
date. 
Table 25 has been derived from the information given in 
Table 24. Since interest on the entire series is payable semi- 
annually, the semi-annual coupon rate and the semi-annual 
true rate are shown. The semi-annual true rate represents 
the interest cost for one half year expressed as a percentage 
of the receipts obtained! from the sale of bonds in a given 
series and based on the assumption that interest is normally 
payable semi-annually. In other words, this rate is a func- 
tion of the semi-annual coupon rate, the net receipts, and 
the maturity dates. The nominal annual true rate is ob- 
tained by multiplying the semi-annual rate by two. 
The annual effective coupon and true rates are slightly 
higher than the nominal rates. Itis a convention in actuarial 
1 Exclusive of accumulated interest between date of issue and date sold.