Part 1 Company C sold a $400,000 serial bond on January 1, 2018 with $100,000 of bonds due each year starting December 31, 2018. The bonds have a stated interest rate of 4%, but were sold to yield a 4.2% annual effective rate. (need to find NPV). Prepare an amortization schedule based on the stated rate. Prepare an effective interest amortization table. Make all required entries on December 31, 2018 and December 31, 2019.

Part 2

Company C sold a $400,000 serial bond on January 1, 2018 with $100,000 of bonds due each year starting December 31, 2018. The bonds have a stated interest rate of 4%. The bonds were sold for 98.(need to find IRR) Prepare an amortization schedule based on the stated rate. Prepare an effective interest amortization table. Make all required entries on December 31, 2018 and December 31, 2019.