HA2230 Sections 1 & 2 In-Class Exercise #8 April 19, 2021 Student Name Problem #1 CUID# Consider a bond issue as follows: Face $60,000 Stated rate of interest 8% Market rate of interest 6% Maturity in 5 years Semi-annual interest payments on June 30 and December 31 Date of issue January 1, 2020 1) Determine the amount at which the bond was issued. Show your work completely. 2) Prepare the journal entry for the issuance. 3) Record the payment of interest on June 30, 2020 using straight-line amortization. 4) Record the payment of interest on June 30, 2020 using effective-interest amortization