Day 2011. Engineers Croot Union (ECU) und 7% 20.yow bod wit 8100.000. The both pay rest of December 31 Header Raqurement. If the more interest when ICU is ons wil the bonds to produce valus premium incorretan They w Magement at man who is on the borde te rend turvali a prominen) The bonds was the man wrestle is will be real They W totam de metrar o mesmo manca Selections * Requirements 1. If the market interest rate is 5% when ECU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. 2. If the market interest rate is 9% when ECU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. 3. The issue price of the bonds is 94. Journalize the following bond transactions: a. Issuance of the bonds on January 1, 2018 b. Payment of interest and amortization on June 30, 2018. c. Payment of interest and amortization on December 31, 2018. d. Retirement of the bond at maturity on December 31, 2037, assuming the last interest payment has already been recorded