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On January 1 , 2 0 2 4 , Bishop Company issued 1 0 % bonds dated January 1 , 2 0 2 4 ,
On January Bishop Company issued bonds dated January with a face amount of $ million. The bonds mature in years For bonds of similar risk and maturity, the market yield is Interest is paid semiannually on June and December
Note: Use tables, Excel, or a financial calculator. FV of $ PV of $ FVA of $ PVA of $ FVAD of $ and PVAD of $
Required:
Determine the price of the bonds on January
Prepare the journal entry to record the bond issuance by Bishop on January
Prepare the journal entry to record interest on June using the effective interest method.
Prepare the journal entry to record interest on December using the effective interest method.
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