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Question 3: Chapter 13 (A13-6) (16 Marks) Mathieson Co. issues a $14,500,000, 8.5% bond on 1 October 20X1. At this time, market interest rates are

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Question 3: Chapter 13 (A13-6) (16 Marks) Mathieson Co. issues a $14,500,000, 8.5% bond on 1 October 20X1. At this time, market interest rates are in the range of 8%. The bond had a 10 year life from 1 October 20X4, and paid interest semi annually on 31 March and 30 September Required: 1.Calculate the proceeds that would be raised on bond issuance. 2. Prepare an amortization table using the effective interest method of amortization. Complete the first four payments only. Period Cash Interest Paid Interest Expense Discount Or Premium Amortization Bond Carrying Value 3. Prepare journal entries for 20X4 and 20x5, using the effective interest method. Matieson has a 31 December fiscal year-end, Focus

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