On February $1,2024,$ Sanyal Motor Products issued $10\%$ bonds, dated February $1,$ with a face amount of $$90$ million.

The bonds mature on January $31,2028($four years$).$

The market yield for bonds of similar risk and maturity was $12\%.$

Interest is paid semiannually on July $31$ and January $31.$

Barnwell Industries acquired $$90,000$ of the bonds as a long$-$term investment.

The fiscal years of both firms end December $31.$

Required:

Determine the price of the bonds issued on February $1,2024.$

$2-$a$.$ Prepare amortization schedules that indicate Sanyal's effective interest expense for each interest period during the term to maturity.

$2-$b$.$ Prepare amortization schedules that indicate Barnwell's effective interest revenue for each interest period during the term to maturity.

Prepare the journal entries to record the issuance of the bonds by Sanyal and Barnwell's investment on February $1,2024.$

Prepare the journal entries by both firms to record all events related to the bonds through January $31,2026.$

Note: Use tables, Excel, or a financial calculator. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ PVA of $$1,$ FVAD of $$1$ and PVAD of $$1)$