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Hartzell Co. issues a $100,000 5-year bond on 4/1/23 that pays interest annually at 7%. The market determined that bond has a market rate of
Hartzell Co. issues a $100,000 5-year bond on 4/1/23 that pays interest annually at 7%. The market determined that bond has a market rate of 6.5%. Prepare the journal entry for the bond issuance on 4/1 and show your work. Use exhibits 5 and 7 from chapter 11. Round all calculations to the nearest dollar.
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