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Calculations Marketing Inc. issued 9 . 0 % bonds with a par value of $ 3 6 0 , 0 0 0 and a five

Calculations Marketing Inc. issued 9.0% bonds with a par value of $360,000 and a five-year life on January 1,2020, for
$374,600. The bonds pay interest on June 30 and December 31. The market interest rate was 8% on the original issue
date. Use TABLE 14A.1 and TABLE 14A.2.(Use appropriate factor(s) from the tables provided.)
Required:
Calculate the total bond interest expense over the life of the bonds.
Total interest
\table[[Total interes],[expense]]
Prepare an amortization table using the effective interest method. (Do not round intermediate calculations. Round
Prepare an amortization table using the effectical the final answers to the nearest whole dollar.)
Show the journal entries that Calculations Marketing Inc. would make to record the first two interest payments
assuming a December 31 year-end. (Do not round intermediate calculations. Round the final answers to the nearest
whole dollar.)
Show the journal entries that Calculations Marketing Inc. would make to record the first two interest payments
assuming a December 31 year-end. (Do not round intermediate calculations. Round the final answers to the nearest
whole dollar.)
Use the original market interest rate to calculate the present value of the remaining cash flows for these bonds as of
December 31,2022. Compare your answer with the amount shown on the amortization table as the balance for that
date. (Do not round intermediate calculations. Round the final answers to the nearest whole dollar.)
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