Question #$4$: Freskew Finance Inc. $[12$ Marks$](18$ Minutes$)$

On January $1,2023,$ Freskew Finance sold $$150,000$ face value bonds with a stated rate of $6\%,$ paying on July $1^{st}$ and January $1^{st}$ of each year. At the time of the sale the market rate of interest for similar bonds was $8\%.$ The bonds mature in $5$ years.

Required $-$ For Freskew:

Determine the issue price for the bond.

Prepare the journal entry for the bond.

Prepare the journal entry for July $1^{st},2023,$ and December $31,2023$ assuming Freskew has a December ${31}^{st}$ year end.