1. Bond amortization. Couch Corp. issues a 3-year, 4% bond with a par value of $20,000 on Dec. 31, 2016. The issue price is 97.60% of par value. The interest payment dates are on June 30 and December 31", starting June 30th 2017. Use the journal template in the accompanying spreadsheet to record the journal entry on the date of issuance, and the journal entry for the retirement of the bond on the maturity date for the bond. Date Account Titles 2. Present value analysis. Suppose that the market interest rate increases is 4.25%. Use the accompanying spreadsheet and the table below to help you calculate the new market bond price. Present Value Amount Principal Interest Issue price of debt PV Factor 0.8815 5.5779 Also, show how the PV factors are calculated using either a math formula or an Excel formula. The formula for the PV factor on principal is , and the PV factor for interest is 2 (Bonus if you can calculate this v factor on interest both ways, using math and the Excel formula.)