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PROBLEM AAA: LANCE CO. (30 points) with a face value of $800,000 and a stated and January 1. The bonds were sold to yield On
PROBLEM AAA: LANCE CO. (30 points) with a face value of $800,000 and a stated and January 1. The bonds were sold to yield On January 1, 2017 Lance Co. issued five-year bonds with a face v interest rate of 12% payable semiannually on July 1 and January 1 10%. Present value table factors are: Present value of a single sum for 5 periods at 10% Present value of a single sum for 5 periods at 12% Present value of a single sum for 10 periods at 5% Present value of a single sum for 10 periods at 6% Present value of an ordinary annuity for 5 periods at 10% Present value of an ordinary annuity for 5 periods at 12% Present value of an ordinary annuity for 10 periods at 5% Present value of an ordinary annuity for 10 periods at 6% Calculate the issue price (present value) of the bonds and prepare the journal entry at the date of issuance for Lance Co and the first interest payment on July 1, 2017. .62092 .56743 .61391 .55839 3.79079 3.60478 7.72173 7.36009
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