Required information P10-9 (Algo) Recording and Reporting Bonds Issued at a Premium LO10-5 [The following information applies to the questions displayed below.] Cron Corporation is planning to issue bonds with a face value of $710,000 and a coupon rate of 13 percent. The bonds mature in five years and pay interest semiannually every June 30 and December 31 . All of the bonds were sold on January 1 of this year. Cron uses the effective-interest amortization method. Assume an annual market rate of interest of 12 percent. (FV of \$1, PV of $1, FVA of \$1, and PVA of $1) Note: Use appropriate factor(s) from the tables provided. P10-9 Part 1 Required: 1. What was the issue price on January 1 of this year? Note: Round your final answer to nearest whole dollar amount. Required information P10-9 (Algo) Recording and Reporting Bonds Issued at a Premium LO10-5 [The following information applies to the questions displayed below.] Cron Corporation is planning to issue bonds with a face value of $710,000 and a coupon rate of 13 percent. The bonds mature in five years and pay interest semiannually every June 30 and December 31 . All of the bonds were sold on January 1 of this year. Cron uses the effective-interest amortization method. Assume an annual market rate of interest of 12 percent. (FV of $1, PV of $1, FVA of $1, and PVA of $1 ) Note: Use appropriate factor(s) from the tables provided. P10-9 Part 2 2. What amount of interest expense should be recorded on June 30 and December 31 of this year? Note: Round your final answers to nearest whole dollar amount. Required information P10-9 (Algo) Recording and Reporting Bonds Issued at a Premium LO10-5 [The following information applies to the questions displayed below.] Cron Corporation is planning to issue bonds with a face value of $710,000 and a coupon rate of 13 percent. The bonds mature in five years and pay interest semiannually every June 30 and December 31 . All of the bonds were sold on January 1 of this year. Cron uses the effective-interest amortization method. Assume an annual market rate of interest of 12 percent. (FV of $1, PV of $1, FVA of $1, and PVA of $1 ) Note: Use appropriate factor(s) from the tables provided. P10-9 Part 3 3. What amount of cash should be paid to investors June 30 and December 31 of this year? Required information P10-9 (Algo) Recording and Reporting Bonds Issued at a Premium LO10-5 [The following information applies to the questions displayed below.] Cron Corporation is planning to issue bonds with a face value of $710,000 and a coupon rate of 13 percent. The bonds mature in five years and pay interest semiannually every June 30 and December 31 . All of the bonds were sold on January 1 of this year. Cron uses the effective-interest amortization method. Assume an annual market rate of interest of 12 percent. (FV of $1, PV of $1, FVA of $1, and PVA of $1 ) Note: Use appropriate factor(s) from the tables provided. P10-9 Part 4 4. What is the book value of the bonds on June 30 and December 31 of this year? Note: Round your final answers to nearest whole dollar amount