Question Completion Status: QUESTION 1 cu points NOTE: Before beginning this problem, you may want to construct a general journal format using the table function in Bb. The table should have 4 columns You can add lines as needed Philipston Industries Philipston Industries is planning for the construction of a 4-level shopping center movie complex. To finance the construction, Philipston is considering the issuance of a 540,000,000 bond issue. The bonds are projected to have the following terms Issue on January 1, 2020 a $40,000,000, 15-year, 6% bond paying interest due annually on January 1, of each year for the next 15 years. Scheduled retirement is January 1, 2035 REQUIRED 1: Compute the amounts and journalize the following projected transactions related to the bonds: January 1, 2020 Issued the entire bond issue to investors. The quote is 97 December 31, 2020 Accrued the interest on the bonds as of December 31, the end of the fiscal year and amortized the valuation account that was recognized on January 1 2020, using the straight-line method January 1, 2021 Paid the interest due on the bond issue REQUIRED 2: Independent of "1" above, assume the bonds are issued at 105, due to economic conditions. Prepare the required journal entries on January 1, 2020, December 31, 2020, and January 1, 2021. REQUIRED 3: Assume that management is planning to retire the bonds early on January 1, 2030. Assume that management is optimistic and projects that they can retire the bonds at 101. What entries would be required on January 1, 2050 (including the interest due on that day)." Hint: How many years remaining before the scheduled retirement? REQUIRED 4: Phillipston also is planning to borrow $125,000 from Fidelity Central Bank by signing a 9%, 20-year note. The terms of the contract require that Phillipston must pay 513,693.30 every January 1 for the next 10 years. The installment payments will include interest and payment on the outstanding loan balance. Present the following journal entries 1. Signing of the note on January 1, 2020 2. Accrual of AND payment of the 1st Installment payment 3. Accrual of AND payment of the 2nd installment payment Save and Save Al Answers Click Save and Submit to save and submit. Click Save All Answers to save all answers Prison Home