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can someone show how to get issue price and interest payments On January 1, 2021, Leona Company issued 10 -year $15 million bonds with a
can someone show how to get issue price and interest payments
On January 1, 2021, Leona Company issued 10 -year $15 million bonds with a 10% stated interest rate with interest paid semiannually on June 30 and December 31 . The market rate at the date of issuance is 8%. Leona uses the effective interest method for any discount or premium amortization. a. (5%) Prepare the journal entry to record the issuance of the bonds on 1/1/21. N=20,r=4%Principal=15,000,000Interestpayments=750,000PVofprincipal=6,845,850PVofinterest=10,192,748IssuePrice=17,038,598Cash17,038,598*PremiumonBondsPayable2,038,598BondsPayable15,000,000 Step by Step Solution
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