756 After posting, the bond accounts have the following balances Main Account Contra Account NAME(PRINT_bar o DATE cupon le Co. issued 9-year bonds with a face value of $2,000,000 a Problem I On January 1, 2007, stated interest rate of 10%, payable semiannually on June 30 and December 31, The were sold to yield 8%. Table values are: 2 Present value of 1 for 9 periods at 8%-........................... Present value of 1 for 9 periods at 10% Present value of 1 for 18 periods at 5% Present value of 1 for 18 periods at 4% Present value of annuity for 9 periods at 8% Present value of annuity for 9 periods at 10% Present value of annuity for 18 periods at 4% .................... Present value of annuity for 18 periods at 5% 424 .415 94 6245 4 96 , 12.659 11.689 Instructions (a) Calculate the issue price of the bonds. (b) Record the bond issue c) Calculate and rcord interest expense for the first perind. ice d barel 20000 d) Pret tre entry to accrue Rr i teest on, Noved#30)007. rtization method. It works very mu line depreciation method we discussed in the Plant Assets chapter. Ino ThiSTSited hestraight-line amo Straight-Line Amortization Method