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Item 1

Item 1 1.1 points

Agee Technology, Inc., issued 9% bonds, dated January 1, with a face amount of $2,000 million on July 1, 2021, at a price of $1,980 million. For bonds of similar risk and maturity, the market yield is 10%. Interest is paid semi-annually on June 30 and December 31. Required: Prepare the journal entry to record interest at the effective interest rate at December 31. What would be the amount(s) related to the bonds that Agee would report in its statement of cash flows for the year ended December 31, 2021, if it uses the direct method?

Return to question Agee Technology, Inc., issued 9% bonds, dated January 1, with a face amount of $2.000 million on July 1, 2021, at a price of $1,980 million. For bonds of similar risk and maturity, the market yield is 10%. Interest is paid semi-annually on June 30 and December 31. Required: Prepare the journal entry to record interest at the effective interest rate at December 31. What would be the amount(s) related to the bonds that Agee would report in its statement of cash flows for the year ended December 31, 2021, if it uses the direct method? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. General Journal Cash Pald What would be the amount(s) related to the bonds that Agee would report in Its statement of cash flows for the year ende December 31, 2021, if it uses the direct method? (Ust any cash outflows with a minus sign. Enter your answers in millions rounded to 1 decimal place (l.e., 5,500,000 should be entered as 5.5).) ($ in millions) Cash outflow from operating activities $ 99.0 $ 2.000.0 Cash inflow from financing activities $ 1,980.0