QUESTION Chapter 13 Coastal Cases Inc. ("CC") is a Vancouver based company that focuses on producing sustainable electronics cases. The company aims to raise awareness about ocean pollution, while providing consumers with environmentally friendly products. What once started as a small, local business has expanded across the country. In order to help grow their business even faster, CC has started looking at new sources of financing. On January 1, 2021, CC issued $1 million face-value debentures. The bonds have a nominal interest rate of 8%, payable semi-annually. The bonds mature in 6 years with an 6% yield. CC uses IFRS and has a December 31st year end. CC has engaged you, CPA, to advise on the accounting treatment of these bonds. The bonds were issued as a source of financing, why are they a liability? Our financial statements need to be finalized soon; can you tell us what the journal entry is for the issuance of the bonds? Someone mentioned that bonds can sell at a premium, discount, or neither, depending on the rate associated with them. How would our bonds change if they had a 10% yield or an 8% yield? ASSESS the Situation: maximum 2 sentences ANALYZE Major Issues: maximum 6 sentences CONLUDE: maximum 2 sentences, plus journal entries, if applicable & ADVISE: maximum 2 sentences