[Elle lui Name, TEnter Your Namel ACCT 2110 [Enter Date] P10.2H On January 1, 2020, LMU, Inc. issued $250,000, 6%, 10 year bonds for $216,025. The market rate of interest was 8% Interest is payable semiannually on June 30 and December 31 each year. The company uses the effective Interest method to amortize the discount. REQUIRED: a) Prove the issue price using present value analysis. b) Prepare an amortization table showing the necessary information for the first two interest periods. c) Prepare the journal entry for the bond issuance on January 1. d) Prepare the journal entry to record the bond interest payment and discount amortization at June 30. e) Prepare the journal entry to record the bond interest payment and discount amortization at December 31. PV Factor Total 0 Prove the issue price using present value analysis: Amount PV Table # Principal Semiannual Interest Pmt Computed Issue Price Less: Actual Issue Price Difference (216,025) (216,025) Col. A Interest to be paid Col. B Interest to be Recorded Col. C Discount Amortization Face Value 250,000 Col. D Unamortized Discount Col. E Carrying Value 1/1/20 6/30/20 12/31/20 GENERAL JOURNAL Account Debit Date 1/1/20 Issue bonds $250K face bonds, 6% 10 years GENERAL JOURNAL Account Date 6/30/20 Debit Credit