Exercise $14-9($Algo$)$ Issuance of bonds; effective interest; amortization schedule; financial statement effects $[$LO$14-2]$

When Patey Pontoons issued $8\%$ bonds on January $1,2024,$ with a face amount of $$780,000,$ the market yield for bonds of similar risk and maturity was $11\%.$ The bonds mature December $31,2027(4$ years$).$ Interest is paid semiannually on June $30$ and December $31.$

Required:

Determine the price of the bonds at January $1,2024.$

Prepare the journal entry to record their issuance by Patey on January $1,2024.$

Prepare an amortization schedule that determines interest at the effective rate each period.

Prepare the journal entry to record interest on June $30,2024.$

What is the amount related to the bonds that Patey will report in its balance sheet at December $31,2024?$

What is the amount related to the bonds that Patey will report in its income statement for the year ended December $31,2024?($Ignore income taxes.$)$

Prepare the appropriate journal entries at maturity on December $31,2027.$

Note: Use tables, Excel, or a financial calculator. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ PVA of $$1,$ FVAD of $$1$ and PVAD of $$1)$

Complete this question by entering your answers in the tabs below.

Prepare an amortization schedule that determines interest at the effective rate each period.

Note: Round intermediate calculations and final answers to the nearest whole dollar:

$\backslash$table$[[$Date$,$Cash Payment,Effective Interest,$\backslash$table$[[$Increase in$],[$Balance$]],\backslash$table$[[$Outstanding$],[$Balance$]]],[\frac{01}{01}\frac{?}{2024},,,,],[\frac{06}{30}\frac{?}{2024},,,,],[\frac{12}{31}\frac{?}{2024},,,,],[\frac{06}{30}\frac{?}{2025},,,,],[\frac{12}{31}\frac{?}{2025},,,,],[\frac{06}{30}\frac{?}{2026},,,,],[\frac{12}{31}\frac{?}{2026},,,,],[\frac{06}{30}\frac{?}{2027},,,,],[\frac{12}{31}\frac{?}{2027},,,,],[$Total$,,,,]]$