Instructions On thun test day of the face yow, a company issues a $1,500,000, 115 five yow bond that pays semiannual interest of 822,500 (51.600.000 x 175 x X receiving cath of 51001070 Jouriate the hond insumce on January 1 Rotor to the Chart of at of Accounts for exact wording of account the Journal Joumare the bond issue on January 1 Refer to the Chart of Accounts for exact wording of account titles INGE 10 JOURNAL ACCOUNTING EQUATION DESCRIPTION POSTRE DEBIT ASSETS FONTE Thomson Co. produces and distributes semiconductors for use by computer manufacturers Thomson issued 5960,000 of 10 yeat bonds on May 1 of the centrarat face value with interest payable on May 1 and November 1. The fiscal year of the company is the calendar year May 1 issued the bonds for cash at their face amount Nov. 1 Paid the interest on the bonds Dec. 31 Recorded accrued interest for two months Journalize the entries to record the above selected transactions for the current year. If an amount box does not require an entry leavit blank May 1 Cast Bonds Payable Nov. 1 Interest Expense Cash II III II II II Dec 31 Interest Expense Interest Payable Smiley Corporation wholesales repair products to equipment manufacturers. On April, 2011, Similey issund 39,000,000 of 4 vec bonds at market (elective interest rated 5%, receiving cash of $9,045,313. Interest is payable semiannually on April 1 and October 1 a. Journalise the entry to record the issuance of borda on April 1, 2011, fan amount box does not require an entry leave it block. 8 b. Journalize the entry to record the fest interest payment on October 1, 2011, and mortation of hond premium for six months, wing the straight line method, Aund to the nearest dollar. If an amount box does not require an entry, leave it blank 6. Why was the company able to issue the bonds for $9.645,313 rather than for the face amount of $9,000,000 The market rate of interest is the contract rate of interest