Question #5: Bond issue calculations (12 points) On January 1 , 2016, Maralie Company issued S500,000. received $426,400 in cash proceeds. The market rate at the date of issue is payable annually at its year-end on each December 31. Maralie uses the effoctive isterest method 4%, ten-year bonds payable and 6%. Interes, is of Hint: Complete the following amortization table to help you with the problem rogairemcets. Change inCarrying amount Cash paid Interest expense of bonds discount 1/16 12/31/16 2/31/17 Required: Please round all caleulations to the nearest dollar A. Prepare the journal entry to record the issuance of the bonds on January 1,2016 (3 points). 13 B. Prepare the journal entry to record the first interest payment and interest expense December 31, 2016. No entries have yet beon made for interest on these bonds 3 C. Prepare the journal entry to reoord the second inscrest payment and intcrest expense at December 31, 2017. No entries have been made for these bonds since December 31,2016 3 points). D. What would the carrying value of the bonds be on December 31, 2017 (3 points)