D Guest eBook Show Me HON Entries for Issuing Bonds and Amortizing Premium by straight-Line Method Favreau Corporation wholesales repair products to equipment manufacturers. On April 1, Year 1, Favreau Corporation issued 56,700,000 of 7-year, 12% bonds at a market (etectivo) interest rate of 9%, receiving cash of 57,727,393. Interest is payable semiannually on April 1 and October 1. a. Joumalize the entry to record the issuance of bonds on April 1. If an amount box does not require an entry, leave it blank. b. Journalice the entry to records the first interest payment on October 1 ano amortization of bond premium for six months, using the straight line method. The bond premium amortization is combined with the semiannual interest payment. Round to the nearest dollar. If an amount box coes not require en entry leave it bank c. Why was the company ble to sue the bonds for $7,7272393 rather than for the tace amount of $6,700,0007 The market rate of interest to the contract rate sitez Present Value of Bonds Payable; Premium Moss Co. issued $100,000 of four year, 11% bonds with interest payable semiannually, at a market (effective interest rate of 8% Determine the present value of the bonds payable using the present value tables in Exhibit 8 and Exhibit 10. Round to the nearest dollar. Check My Work resou