ACC 201-Spring 2019 Written Homework- Chapter 12 Due April 24, 2019 On January 1, 2018, University Credit Union issued 10% 30yearbo with a face yablese bondspy ddir amount of S10,000,000 to fund the construction of thei interest on June 30 and December 31. new office building. These bonds pay Determine the following and place your answers in the table below. On a separate sheet, show how you calculated the amounts reported for all numerical answers (you will for this assignment without showing your calculations). 1) Assume the bond is issued at its face value (at 100) How much cash is received on January 1, 2018 from the bond issuance? b) c) d) a) How much cash is paid to the bondholders on June 30, 2018 for interest? How much interest expense is recognized on June 30, 2018? Is the market rate of interest equal to, more than, or less than 10% 2) Assume the bond is issued at 97: a) How much cash is received on January 1, 2018 from the bond issuance? b) How much cash is paid to the bondholders on June 30, 2018 for interest? c) How much interest expense is recognized on June 30, 2018? d) Is the market rate of interest equal to, more than, or less than 10% Assume the bond is issued at 105: a) How much cash is received on January 1, 2018 from the bond issuance? b) How much cash is paid to the bondholders on June 30, 2018 for interest? c) How much interest expense is recognized on June 30, 2018 is the market rate of interest equal to, more than, or less than 10% Bond issued at 97 Bond issued at 105 Bond issued at 100 a) Cash received b) Cash paid for interest c) Interest Expense recognized d) Market rate "equal" "more" or "less" than 10%