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On January 1, 2024. Professor Credit Union (PCC) issued 8%, 20-year bonde payable with tace value of 5000,000. The bonda pay interest on June 30

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On January 1, 2024. Professor Credit Union (PCC) issued 8%, 20-year bonde payable with tace value of 5000,000. The bonda pay interest on June 30 and December 31 Read the requirements y. They are Requirement 1. If the market interest rate is 5% when PCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain The 8% bonds issued when the market interest rate is 5% will be prioed at in this market, so investors will pay V to acquire them Requirement 2. If the market interest rate is 9% when PCU issues its bonds, wil the bonds be priced at face value, at a premium, or at a discount? Explain The 8% bonds issued when the market interest rate is 9% will be priced at a They are In this market, so investors will pay to acquire them Requirements 1. If the market interest rate is 5% when PCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. 2. If the market interest rate is 9% when PCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. 3. The issue price of the bonds is 91. Journalize the following bond transactions: Issuance of the bonds on January 1, 2024. b. Payment of interest and amortization on June 30, 2024. c. Payment of interest and amortization on December 31, 2024. d. Retirement of the bond at maturity on December 31, 2043, assuming the last interest payment has already been recorded a. a. Journalize the issuance of the bonds on January 1, 2024. Date Accounts and Explanation Debit Credit 2024 Jan. 1 b. Journalize the payment of interest and amortization on June 30, 2024. Date Accounts and Explanation Debit Credit 2024 Jun. 30 c. Journalize the payment of interest and amortization on December 31, 2024. Date Accounts and Explanation Debit Credit 2024 Dec. 31 d. Retirement of the bond at maturity on December 31, 2043, assuming the last interest payment has already been recorded Date Accounts and Explanation Credit Debit 2043 Dec. 31

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