Required: 1. Prepare the January 1, 2017, journal entry to record the bonds' issuance. 2. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 3. Prepare an effective interest amortization table for the bonds' first two years. 4. Prepare the journal entries to record the first two interest payments. Complete this question by entering your answers in the tabs below. Required 3 Required 4 Required 1 Required 2 Prepare the January 1, 2017, journal entry to record th bonds' issuance. View transaction list Journal entry worksheet 1 Record the issue of bonds with a par value of $640,000 cash on 2017 at an issue price of $570,443. January 1, Note: Enter debits before credits. Date Credit General Journal Debit Jan 01, 2017 Legacy issues $640,000 of 8.5%, four -year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31 They are issued at $570,443 and their market rate is 12 % at the issue date. Required: 1. Prepare the January 1, 2017, journal entry to record the bonds' issuance. 2. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 3. Prepare an effective interest amortization table for the bonds' first two years. 4. Prepare the journal entries to record the first two interest payments. Complete this question by entering your answers in the tabs below. Required 4 Required 2 Required 3 Required 1 Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. Total bond interest expense over life of bonds: Amount repaid: payments of Par value at maturity Total repaid Less amount borrowed Total bond interest expense Legacy issues $640,000 of 8.5 %, four-year bonds dated January 1. 2017, that pay interest semiannually on June 30 and December 31 They are issued at $570,443 and their market rate is 12% at the issue date, Required: 1. Prepare the January 1, 2017, journal entry to record the bonds' issuance. 2. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 3. Prepare an effective interest amortization table for the bonds' first two years 4. Prepare the journal entries to record the first two interest payments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare an effective interest amortization table for the bonds' first two years. Semiannual Interest Period-End Cash Interest Paid Bond Interest Expense Discount Amortization Unamortized Discount Carrying Value 01/01/2017 06/30/2017 12/31/2017 06/30/2018 12/31/2018 Legacy issues $640,000 of 8.5%, four- year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31 They are issued at $570,443 and their market rate is 12% at the issue date. Required: 1. Prepare the January 1, 2017, journal entry to record the bonds' issuance. 2. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 3. Prepare an effective interest amortization table for the bonds' first two years. 4. Prepare the journal entries to record the first two interest payments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare the journal entries to record the first two interest payments. View transaction list Journal entry worksheet >
