On July 1, 2011, Danzer Industries Inc. issued 537,400,000 of 10-year, 8% bonds at a market (effective) interest rate of 10% receiving cash of $32,739,152. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year Required: 1. Journalize the entry to record the amount of cash proceeds from the issuance of the bonds on July 1, 2014 2. Journalize the entries to record the following a. The first seminual interest payment on December 31, 2071, and the amortization of the bond discount, using the straight line method (Round to the nearest dollar) b. The interest payment on June 30, 2012, and the amortization of the band discount, using the straight line method (Round to the nearest dollar) Determine the total interest expense for 2017 4 Will the bond proceeds always be less than the face amount of the bonds when the contract rate is less than the market rate of interest 5. Compute the price of 532.739,152 received for the bonds by using the present value tables (Round to the nearest dollar) "Refer to the Chart of Accounts for exact wording of accounts eBook Show We how Calculator Present Value Tables Two present value tables are provided: Present Value of $1 at Compound Interest Due inn Periods anci Value of Ordinary Annuity of $1 per Period. Use them as directed in the problem requirements. Present Value of $1 at Compound Interest Due in n Periods 4.0% 4.5% 5% 5.5% 6% 6.5% Periods 7% 1 0.96154 0.95694 0.95238 0.94787 0.94340 0.93897 0.93458 2 0.92456 0.91573 0.90703 0.89845 0.89000 0.88166 0.87344 3 0.88900 0.87630 0.86384 0.85161 0.83962 0.82785 0.81630 4 0.85480 0.83856 0.82270 0.80722 0.79209 0.77732 0.76290 5 0.82193 0.80245 0.78353 0.76513 0.74726 0.72988 0.71299 6 0.79031 0.76790 0.74622 0.72525 0.70496 0.68533 0.66634 7 0.75992 0.73483 0.71068 0.68744 0.66506 0.64351 0.62275 8 0.73069 0.70319 0.67684 0.65160 0.62741 0.60423 0.58201 9 0.70259 0.67290 0.64461 0.61763 0.59190 0.56735 0.54393 10 0.67556 0.64393 0.61391 0.58543 0.55839 0.53273 0.50835 11 0.64958 0.61620 0.58468 0.55491 0.52679 0.50021 0.47509 12 0.62460 0.58966 0.55684 0.52598 0.49697 0.46968 0.44401 Check My Work Present Value Tables 12 0.62460 0.58966 0.55684 0.52598 0.49697 0.46968 0.44401 13 0.60057 0.56427 0.53032 0.49856 0.46884 0.44102 0.41496 14 0.57748 0.53997 0.50507 0.47257 0.44230 0.41410 0.38782 15 0.55526 0.51672 0.48102 0.44793 0.41727 0.38883 0.36245 16 0.53391 0.49447 0.45811 0.42458 0.39365 0.36510 0.33873 17 0.51337 0.47318 0.43630 0.40245 0.37136 0.34281 0.31657 18 0.49363 0.45280 0.41552 0.38147 0.35034 0.32189 0.29586 19 0.47464 0.43330 0.39573 0.36158 0.33051 0.30224 0.27651 20 0.45639 0.41464 0.37689 0.34273 0.31180 0.28380 0.25842 21 0.43883 0.39679 0.35894 0.32486 0.29416 0.24151 0.26648 22 0.42196 0.37970 0.34185 0.30793 0.27751 0.25021 0.22571 23 0.40573 0.36335 0.32557 0.29187 0.21095 0.26180 0.23494 24 0.39012 0.34770 0.31007 0.27666 0.24698 0.22060 0.19715 25 0.37512 0.33273 0.29530 0.26223 0.23300 0.18425 0.20714 26 0.36069 0.31840 0.28124 0.24856 0.17220 0.21981 0.19450 27 0.34682 0.30469 0.16093 0.26785 0.23560 0.20737 0.18263 TAN AO 17 HE > Chen Present Value Tables 28 0.35348 0.29157 0.25509 0.22332 0.19563 0.17 148 0.15040 29 0.32065 0.27902 0.24295 0.21168 0.18456 0.16101 0.14056 30 0.30832 0.26700 0.23138 0.20064 0.17411 0.15119 0.13137 31 0.29646 0.25550 0.22036 0.19018 0.16425 0.14196 0.12277 32 0.28506 0.24450 0.20987 0.18027 0.15496 0.13329 0.11474 33 0.27409 0.23397 0.19987 0.17087 0.14619 0.12516 0.10723 34 0.26355 0.22390 0.19035 0.16196 0.13791 0.11752 0.10022 35 0.25342 0.21425 0.18129 0.15352 0.13011 0.11035 0.09366 40 0.20829 0.17193 0.14205 0.11746 0.09722 0.08054 0.06678 45 0.17120 0.13796 0.11130 0.08988 0.07265 0.05879 0.04761 50 0.14071 0.11071 0.08720 0.06877 0.05429 0.04291 0.03395 Periods 7 1 Present Value of Ordinary Annuity of $1 per Period 4.0% 4.5% 5% 5.5% 6% 6.5% 0.96154 0.95694 0.95238 0.94787 0.94340 0.93897 1.88609 1.87267 1.85941 1.84632 1.83339 1.82063 2.77509 2.74896 2.72325 2.69793 2.67301 2.64848 0.93 2 1.80 3 2.62 3.62990 3.58753 3.54595 3.50515 3.46511 3.42580 3.38 Show Me How Calculator esent Value Tables 4 3.62990 3.58753 3.54595 3.50515 3.46511 3.42580 5 4.45182 4.38998 4.32948 4.27028 4.21236 4.15568 6 5.24214 5.15787 5.07569 4.99553 4.91732 4.84101 7 6.00205 5.89270 5.78637 5.68297 5.58238 5.48452 8 6.73274 6.59589 6.46321 6.33457 6.20979 6.08875 9 7.43533 7.26879 7.10782 6.95220 6.80169 6.65610 10 8.11090 7.91272 7.72173 7.53763 7.36009 7.18883 11 8.76048 8.52892 8.30641 8.09254 7.88687 7.68904 12 9.38507 9.11858 8.86325 8.61852 8.38384 8.15873 13 9.98565 9.68285 9.39357 9.11708 8.85268 8.59974 14 10.56312 10.22283 9.89864 9.58965 9.29498 9.01384 15 11.11839 10.73955 10.37966 10.03758 9.71225 9.40267 16 11.65230 11.23402 10.83777 10.46216 10.10590 9.76776 17 12.16567 11.70719 11.27407 10.86461 10.47726 10.11058 18 12.65930 12.15999 11.68959 11.24607 10.82760 10.43247 11 19 13.13394 12 59329 12.08532 11.60765 11.15812 10.73471 10 20 13.59033 13.00794 12.46221 11.95038 10 11.46992 11.01851 34 Show Me How Calculator ent Value Tables 22 14.45112 13.78442 13.16300 12.58317 12.04158 11.53520 11.06 23 14.85684 14.14777 13.48857 12.87504 12.30338 11.77014 11.21 24 15.24696 14.49548 13.79864 13.15170 12.55036 11.99074 11.4 25 15.62208 14.82821 14.09394 13.41393 12.78336 12.19788 11.65 26 15.98277 15.14661 14.37519 13.66250 13.00317 12.39237 11.82 27 16.32959 15.45130 14.64303 13.89810 13.21053 12.57500 11.9 28 16.66306 15.74287 14.89813 14.12142 13.40616 12.74648 12.1: 16.98371 29 16.02189 15.14107 14.33310 13.59072 12.90749 122 30 17.29203 16.28889 15.37245 14.53375 12.41 13.76483 13.05868 31 17.58849 16.54439 15.59281 14.72393 12.5 13.92909 13.20063 32 17.87355 16.78889 15.80268 14.90420 12.6 14.08404 13.33393 33 18.14765 17.02286 16.00255 15.07507 12.73 13.45909 14.23023 34 18.41120 128 17.24676 16.19290 15.23703 14.36814 13.57661 35 12.9. 18.66461 17.46101 16.37419 13.68696 15.39055 14.49825 13.3. 40 19.79277 14.14553 18,40158 17.15909 15.04630 16.04612 13.61 45 15.45583 14.48023 19.15635 17.77407 20.72004 16.54773 14.72452 50 13.81 15.76186 21.48218 19.76201 16.93152 18.25593 Shaded cells have feed 1. Journalize the entry to record the amount of cash proceeds from the issuance of the bonds on July 1, 20Y1. 20. Journalize the entry to record the first semiannual interest payment on December 31, 20Y1, and the amortization of the band discount, using the straight-line method. (Round to the nearest dollar) Refer to the Chart of Accounts for exact wording of account titles. Question not attempted. GE 10 JOURNAL Score: 0/75 DESCRIPTION POST. REF DEST CREDIT EQUITY 1 Check My Work 20. Journalize the entry to record the interest payment on June 30, 20Y2, and the amortization of the bond discount, using the straight-line method. Refer to the Chart of Accounts for exact wording of account titles. (Round to the nearest dollar) Question not attempted. RADE 10 Score: 0/37 JOURNAL TOTAL LATES EQUITY DEST POST. REF CREDIT DATE DESCRIPTION 1 2 Points 017 F Final Questions Shaded cell Points 5. Compute the price of 532,739,152 received for the bonds by using the tables shown in Present Value Tables (Round to the nearest dollar.) Present value of the face amount Present value of the semiannual interest payments Price received for the bonds Points