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Chapter 11: Long-Term Liabilities 1: On 1/1/2010, Need Dough Corp issues two bonds: - Bond A is a 3-year bond with a face value of

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Chapter 11: Long-Term Liabilities 1: On 1/1/2010, Need Dough Corp issues two bonds: - Bond A is a 3-year bond with a face value of $100,000. Bond A makes annual coupon payments at a stated interest rate of 8%. - Bond B is a 3-year bond with a face value of $100,000. Bond B makes annual coupon payments at a stated interest rate of 11% Bond investors require a return of 10% on Need Dough Corp's debt (that is, the effective interest rate is 10% ). Record journal entries for the issuance of the bonds. 2: Show the subsequent accounting for Bond A above

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