Need help solving Required 1A, 1B, 2A, and 2B. Thanks!
Problem 14-8AA (Algo) Computing bond price and recording issuance LO C2 Hartford Research issues bonds dated January 1 that pay interest semiannually on June 30 and December 31. The bonds have a $36,000 par value and an annual contract rate of 12%, and they mature in 10 years. (Table B.1. Table 8.2. Table 8.3. and Table 1.4) (Use appropriate factor(s) from the tables provided. Round all table values to 4 decimal places, and use the rounded table values in calculations.) Required: Consider each separate situation. 1. The market rate at the date of issuance is 10%. (a) Complete the below table to determine the bonds' issue price on January 1. (b) Prepare the journal entry to record their issuance. 2. The market rate at the date of issuance is 12%. (a) Complete the below table to determine the bonds' issue price on January 1. (b) Prepare the journal entry to record their issuance. 3. The market rate at the date of issuance is 14%. (a) Complete the below table to determine the bonds' issue price on January 1, (6) Prepare the journal entry to record their issuance. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Required 3A Required 3B Complete the below table to determine the bonds' issue price on January 1 if the market rate at the date of issuance is 10%. (Round all table values to 4 decimal places.) Table values are based on: Table Value Amount Present Value i=1 Cash Flow Par maturity) value Interest (annuity) Price of bonds Required 1A Required 1B Required 2A Required 2B Required 3A Required 3B Prepare the journal entry to record their issuance, if the market rate at the date of issuance is 10%. View transaction list Journal entry worksheet 1 > Record the issue of bonds with a par value of $36,000 on January 1. Assume that the market rate of interest at the date of issue is 10%. Note: Enter debits before credits. General Journal Debit Credit Date January 01 Record entry Clear entry View general Journal Required 1A Required 18 Required 2A Required 28 Required 3A Required 38 Complete the below table to determine the bonds' Issue price on January 1 if the market rate at the date of issuance is 12%. (Round all table values to 4 decimal places.) Table values are based on: Table Value Amount Prosent Value Cash Flow Par (maturity) value Interest (annuity) Price of bonds Required 1A Required 1B Required 2A Required 2B Required 3A Required 3B Prepare the journal entry to record their issuance, if the market rate at the date of issuance is 12%. View transaction list Journal entry worksheet 1 > Record the issue of bonds with a par value of $36,000 on January 1. Assume that the market rate of interest at the date of issue is 12%. Note: Enter debits before credits. General Journal Debit Credit Date January 01 Record entry Clear entry View general Journal
