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On October 1, 2020, Ross Wind Energy inc, issued a $1,560,000,10.0%, seven-year bond. Interest is to be paid annually each October 1. Assume a November

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On October 1, 2020, Ross Wind Energy inc, issued a $1,560,000,10.0%, seven-year bond. Interest is to be paid annually each October 1. Assume a November 30 year-end. (Use TABLE 14AI and TABLE 14A2). (Use appropriate facton(s) from the tables provided.) Required: a. Caiculate the issue price of the bond assuming a market interest rate of 8% on the date of the bond issue. (Do not round Intermedlate calculations. Round the final answer to the nearest whole dollar.) b. Using the effective interest method, prepare an amortization schedule. (Do not round intermediate calculations. Round the final answers to the nearest whole dollar. Enter all the amounts as positive values.) Part 1 Record the following entries: (Round the flinal answers to the nearest whole dollac.) a. Issuance of the bonds on October 1, 2020 b. Adjusting entry to accrue bond interest and premium amortization on November 30, 2020 c. Payment of interest on October 1,2021 Journal entry worksheet Record the issuance of bond at premium. Note: Enter debits before credits. Part 2 Show how the bond wil appear on the balance sheet under non-current liabilities at November 30, 2024, (Do not round intermediate calculations. Round the final answers to the nearest whole dollar.)

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