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On 1/1/2020 Eliphaz Co. issued 2,000 - $1,000 10-year, 12% bonds to yield 10%. Interest is paid annually on December 31 each year. The PV
On 1/1/2020 Eliphaz Co. issued 2,000 - $1,000 10-year, 12% bonds to yield 10%. Interest is paid annually on December 31 each year. The PV of $1 lump sum is .38554 and the PV of an ordinary annuity is 6.14457. REQUIRED: Complete A through E component A. Calculate the Present Value of the bond show your work. B. Record the journal entries associated with the initial issuance of bonds. C. Prepare the amortization schedule for the first 4 years D. Record the yr-end entries for 2020 and 2021. Assume the same fact pattern as above EXCEPT the bond was actually issued on 4/1/2020. E. Show the journal entry with correct amounts that will be recorded on 4/1/2020 -show your work
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