Citywide Company, issues bonds with a par value of $150,000 on their stated issue date. The bonds mature in five years and pay 10% annual interest in semiannual payments. On the issue date, the annual market rate for the bonds is 8%.

Required:
1. What is the amount of each semiannual interest payment for these bonds? (Omit the "$" sign in your response.)
Semiannual cash interest payment $___________
2. How many semiannual interest payments will be made on these bonds over their life?
Number of Payments____________
3. Use the interest rates given to determine whether the bonds are issued at
(a) A discount
(b) Par
(c) A premium
4. Compute the price of the bonds as of their issue date. Use the present value tables B.1 and B.3. (Round your answer to the nearest dollar amount. Omit the "$" sign in your response.)

5. Prepare the journal entry to record the bonds' issuance. (Round your answer to the nearest dollar amount. Omit the "$" sign in yourresponse.)

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General Journal Debit Credit