Problem 14-1AA Computlng bond price and recording Issuance LO C2, P1 Hartford Research issues bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31. The bonds have a $29,000 par value and an annual contract rate of 8%, and they mature in 10 years. (Table B1. Table B.2. Table B.3, and Table B.4) (Use appropriate factor(s) from the tables provided. Round all table values to 4 decimal places, and use the rounded table values In calculations.) Required: Consider each of the following three separate situations. 1. The market rate at the date of issuance is 6% (a) Complete the below table to determine the bonds' issue price on January 1, 2017 (b) Prepare the journal entry to record their issuance. 2. The market rate at the date of issuance is 8% (a) Complete the below table to determine the bonds' issue price on January 1, 2017 (b) Prepare the journal entry to record their issuance. 3. The market rate at the date of issuance is 10% (a) Complete the below table to determine the bonds' issue price on January 1. 2017. (b) Prepare the journal entry to record their issuance. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Required 3A Required 3B Complete the below table to determine the bonds' issue price on January 1, 2017, if the market rate at the date of issuance is 6%. Table values are based on: n = Present Cash Flow Table Value Amount Value Par (msturity) value Interest (annuity) Price of bonds Record the issue of bonds with a par value of $29,000 cash on January 1 2017. Assume that the market rate of interest at the date of issue is 6%. Note: Enter debits before credits. General Journal Date Debit Credit Jan 01, 2017 Required 2A Required 2B Required 1A Required 1B Complete the below table to determine the bonds' issue pr 8% Table values are based on: Present Cash Flow Table Value Amount Value Par (maturity) value Interest (annuity) Price of bonds Complete this question by entering your answers in the tabs belov Required 2B Required 3A Required 1A Required 1B Required 2A RE Complete the below table to determine the bonds' issue price on January 1 10% Table values are based on: Table Present Cash Flow Amount Value Value Par (maturity) value Interest (annuity) Price of bonds Required 1A Required 2A Required 2B Required 3A Required 3B Required 1B Prepare the journal entry to record their issuance, if the market rate at the date of issuance is 10%. View transaction list Journal entry worksheet 1 Record the issue of bonds with a par value of $29,000 on January 1, 2017. Assume that the market rate of interest at the date of issue is 10%. Note: Enter debits before credits Date General Joural Debit Credit Jan 01, 2017 View general journal Record entry Clear entry
