Need help with parts 3 and 4 with calculations:

On January 1, 2016 Radio Corp. issued 5-year bonds with a face value of $50,000 and a 6% coupon. The bonds pay interest semiannually on June 30 and December 31. The market interest rate for bonds of similar risk and maturity is 4%.

Required:

1. Determine the issue price of the bonds. ________54,491_________________

2. Prepare the journal entry to record the issuance of the bonds on January 1, 2016.

Account title	Debit	Credit
Cash	54,491
Bonds Payable		54,491

3. Assuming the bond is held until maturity, what is the total economic cost of the borrowing to the company? _____________

4. Prepare the journal entries to record the first two interest payments.

Account title	Debit	Credit	Debit	Credit
Interest Expense
BP
Cash

1. Prepare the journal entry to record the purchase of the bonds for $51,000 two years after issuance.

Account title	Debit	Credit
Cash	52,801
BP		51,000
Gain		1,801