Example 14.8: On January 1,2016, the Ruffin Corporation issued $40,000 par value, 4%, four- sem annual yon June and December 31, On the date Ruffin issued the bonds, the market rate of interest war 6% The company's fiscal year ends on December 31. What is the issue price of this bond? Prepare the journal entry to record the issuance. Prepare an amortization schedule over the four-year period using the effective interest rate method. Prepare the journal entries to record the inter-est entries for the first year. Prepare the journal entry to record the payment of the year bonds that mature on December 31, 2019. Ruffin will pay interest 6 bonds at maturity. Prepare the t-accounts for the bond payable and bond discount accounts for the ife of the bond s since stated interest rate 4%