(a) On 1/1/2015, Shocker Company issued $100,000 face value bonds. The stated rate for these bonds is 10%, and the interest is paid semi-annually, on June 30 and December 31. The market rate on the date of issue was 12%. Bonds mature in three years, on December 31, 2017. Required In the table provided, write the amount of the payment, and the date of all payments that must be made by Shocker Company to bond holders. Date Amount Date Amount

Date	Amount

(b) On 1/1/2015, Sooner Company issued $100,000 face value bonds that make semi-annually on June 30 and December 31. The coupon rate is 10% and each semi-annual payment is $5,000. The market rate on the date of issue was 8%. Bonds mature in five years, on December 31, 2019.

Required

On the date of issue, calculate the market price of the bond and record journal entry for the issuance of the bond. Show calculations.

(b)answer for Sooner Company here:

Market Price of the bond on 1/1/2015 is:

Journal entry to be recorded on 1/1/2015:

Calculations for Sooner Company:

Number of period = ___ discount rate to be used = ___ %

Market Price of the bonds:

=

=

(c) On 1/1/2015, Gator Company issued $200,000 face value bonds that mature in five years, on December 31, 2019. The bonds have stated rate of 10%, with semi-annual payments, on June 30 and December 31. The market rate on the date of issue was 9%, and the bonds were sold for $207,913.

Required

In the amortization table provided, complete the entries for the dates indicated. Write journal entries to be recorded on 6/30/2015 and 12/31/2015.

Date	Cash Interest Paid	Interest Expense	Increase/decrease in Outstanding Balance	Outstanding Balance
1/1/2015
6/30/2015
12/31/2015