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Erwin Company issues $2,000,000, 10%, 4-year bonds on January 1, 2020. The bonds pay interest annually on January 1. The bonds are issued to yield

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Erwin Company issues $2,000,000, 10%, 4-year bonds on January 1, 2020. The bonds pay interest annually on January 1. The bonds are issued to yield 12%. Erwin closes its books on December 31 and uses effective interest method. Prepare all the necessary journals for the year 2020. Please show the relevant computations. You may use the following formulas. 1 PVF = (1 + i)" PVOAF = = [1 - (1 +on+i 1

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