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Iniki Bhd issues five year bonds with the following terms: Face value (RM 1,000 each) Stated interest rate RM 10,000 8% Annual interest payment date
Iniki Bhd issues five year bonds with the following terms: Face value (RM 1,000 each) Stated interest rate RM 10,000 8% Annual interest payment date January 1 Date of bonds Date of maturity January 1, 2018 December 31, 2022 The company's required rate of return is 6%. Required:- (i) Calculate the selling price of the bonds, rounded to the nearest Ringgit Malaysia. (ii) Prepare the journal entries to record the bond issuance. (iii) Prepare the amortization schedule, assuming the amortization is recorded on interest payment dates
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