On January 2, 2020, Parras Co. issued 6% bonds with a face value of $400,000 when the market interest rate was 8%. The bonds are due in ten years, and interest is payable every June 30 and December 31, Parras does not elect the fair value option for reporting its financial liabilities.

Use the following present value annuity tables to calculate the selling price of the bond on January 2, 2020. Round your final answer to the nearest dollar.

On January 2, 2020, Parras Co. issued 6% bonds with a face value of $400,000 when the market interest rate was 8%. The bonds are due in ten years, and interest is payable every June 30 and December 31, Parras does not elect the fair value option for reporting its financial liabilities. Use the following present value annuity tables to calculate the selling price of the bond on January 2, 2020. Round your final answer to the nearest dollar. Present Value Ordinary Annuity of $1 Periods 5 periods 10 periods 20 periods 3% 4.5797 8.5302 14.8775 4% 6% 4.4518 4.2124 8.1109 7.3601 13.5903 11.4699 Present Value of $1 8% 3.9927 6.7101 9.8181 12% 3.6048 5.6502 7.4694 16% 3.2743 4.8337 5.9288 Periods 5 periods 10 periods 20 periods 3% .8626 .7441 .5537 4% .8219 .6756 .4564 6% .7473 .5584 .3118 8% .6806 .4632 .2145 12% .5674 .3220 .1037 16% .4761 .2267 .0514 Selling price of the bond Prepare the amortization schedule for the bond through December 31, 2020. Round all numbers to the nearest dollar. Interest Amortization of discount Discount on bond payable Carrying value of bond payable Interest paid expense Date 1/2/20 6/30/20 12/31/20 1. Prepare the journal entries for the bond issue on January 2, 2020. 2. Prepare the journal entry for the interest payment on June 30, 2020