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On January 1, Boston Enterprises issues bonds that have a $1,500,000 par value, mature in 20 years, and pay 6% interest semiannually on June 30

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On January 1, Boston Enterprises issues bonds that have a $1,500,000 par value, mature in 20 years, and pay 6% interest semiannually on June 30 and December 31 . The bonds are sold at par. 1. How much interest will the issuer pay (in cash) to the bondholders every six months? 2. Prepare journal entries to record (a) the issuance of bonds on January 1, (b) the first interest payment on June 30 , and (c) the second interest payment on December 31 3. Prepare the journal entry for issuance assuming the bonds are issued at (a) 96 and (b) 104 Citywide Company issues bonds with a par value of $81,000. The bonds mature in five years and pay 9% annual interest in semiannual payments. The annual market rate for the bonds is 8\%. (Table B1. Table B.2. Table B.3, and Table B.4) (Use appropriate factor(s) from the tables provided.) 1. Compute the price of the bonds as of their issue date 2. Prepare the journal entry to record the bonds' issuance Hartford Research issues bonds dated January 1 that pay interest semiannually on June 30 and December 31 . The bonds have a $36,000 par value and an annual contract rate of 12%, and they mature in 10 years. (Table B1. Table 8.2. Table B.3, and Table B 4) (Use appropriate factor(s) from the tables provided. Round all table values to 4 decimal places, and use the rounded table values in calculations.) Required: Consider each separate situation 1. The marketrate at the date of issuance is 10% (a) Complete the below table to determine the bonds' issue price on January 1. (b) Prepare the journal entry to recoid their issuance. 2. The market fate at the date of issuance is 12% (a) Complete the below table to determine the bonds' issue price on January 1 (b) Prepare the journat entry to record their issuance 3. The market rate at the date of issuance is 14%. (a) Complete the below table to determine the bonds' issue price on January 1 (b) Prepare the joumal entry to record their issuance

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