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Question 2 On January 1, 20X0, Ashley Corporation issued $2000 of 5-year, 6% debentures. Interest is paid semiannually. The market interest rate at issuance was

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Question 2 On January 1, 20X0, Ashley Corporation issued $2000 of 5-year, 6% debentures. Interest is paid semiannually. The market interest rate at issuance was 10%. 1. Compute the proceeds from issuing the debentures. 2. Prepare an analysis of this bond transaction. Show entries for the issuer concerning (a) issuance, (b) first semiannual interest payment, (c) second semiannual interest payment, and (d) payment of maturity value. Present value of $1 Present value of $1 annuity n=5, i=10% 0.62092 3.79079 n=10,i=5% 0.61391 7.72173 n=5, i=6% 0.74726 4.21236 n=10.1=3% 0.74409 8.53020 Note: Use only the relevant presentyalue information for Question 2

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