On January 1, 2024, Reyes Recreational Products issued $200,000,9%, four-year bonds. Interest is paid semiannually on June 30 and December 31 . The bonds were issued at $193,537 to yield an annual return of 10%.

Required:

1.Prepare an amortization schedule that determines interest at the effective interest rate

2 Prepare an amortization schedule by the straight-line method.

3. Prepare the journal entries to record interest expense on June 30,2026 , by each of the two approaches.

5. Assuming the market rate is still 10%, what price would a second investor pay the first investor on June 30,2026 , for $20,000 of the bonds? Note: Use tables, Excel, or a financial calculator. (FV of $1, PV of $1. FVA of $1, PVA of $1,