Exercise $14-9($Algo$)$ Issuance of bonds; effective interest; amortization schedule; financial statement

effects $[$LO$14-2]$

When Patey Pontoons issued $4\%$ bonds on January $1,2024,$ with a face amount of $$580,000,$ the market yleld for bonds of similar risk

and maturlty was $5\%.$ The bonds mature December $31,2027(4$ years$).$ Interest is pald semlannually on June $30$ and December $31.$

Required:

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

Prepare the Journal entry to record thelr Issuance by Patey on January $1,2024.$

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

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 approprlate Journal entrles at maturity on December $31,2027.$

Note: Use tables, Excel, or a financlal 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 the appropriate journal entries at maturity on December $31,2027.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Round intermediate

calculations and final answers to the nearest whole dollar.

Journal entry worksheet

Record the interest expense on December $31,2027.$

Note: Enter debits before credits. PLEASE DO ALL REQUIREMENTS!!