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Particulars Bond 1 Value 900,000.00 Period (Years) 6 Contarct Rate 8% Market Yield 6% Interest Payment frequency 2 Interest amount 36,000.00 Discount Rate 3% From

Particulars Bond 1
Value 900,000.00
Period (Years) 6
Contarct Rate 8%
Market Yield 6%
Interest Payment frequency 2
Interest amount 36,000.00
Discount Rate 3%

From the above information answer the followin questions:

a. Is this a premium or discount bond

b. Determine the price of the bond ( using the present value tables )

c. Determine the total amount of interest expense for the bond to maturity (prior to maing the ammortizatin table )

d. Prepare the complete bond ammortization table for this bond till maturity

e. Prepare the journal entries for the date of issuance , first interest payment , nad at maturity (make certain to include the date for each journal entry).

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