On January 1, 2018, Agricutural Credit Union (ACU) issued 8\%, 20 -year bonds payable with face value ot S700,000. The bonids pay interest on June 30 and Decembat if Read the cequrements. Requirement 1. If the markot interest rale is 5% when ACU issues its bonds, will the bonds be priced at face vatue at a preerium or at a dscount? Explan The 8% bonds issued when the market interest rote is 5% will be puced at Toey are n thes market yo investars wel pay to dequire thent Requirements 1. If the market interest rate is 5N, whed Acu iscues its bonds. W. the benos be priced at trice value at a premium, of at a discounts Explan vaiue, at a premairs, of at a discognt? Exish a. Wwance of the bonds on varkiay 1,201 1. b. Payment of inserent and anpitization on 3lane 30,2010 c. Paymant of iciterest and airoluton ch pecember.31, 2016 peyment has asieady been recoitsed