Rodgers Corporation produces and sells football equipment. On July 1, 20Y1, Rodgers issued $23,500,000 of 10-year, 10% bonds at a market (effective) interest rate of 9%, receiving cash of $25,028,370. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year.

Required:

For all journal entries, if an amount box does not require an entry, leave it blank.

Question Content Area

1. Journalize the entry to record the amount of cash proceeds from the issuance of the bonds on July 1, 20Y1.

For all journal entries, if an amount box does not require an entry, leave it blank. 1. Journalize the entry to record the amount of cash proceeds from the issuance of the bonds on July 1,20Y1. Feedback - Check My Work Bonds Payable is always recorded at face value. Any difference in issue price is reflected in a premium or discount account. 2. Journalize the entries to record the following: a. The first semiannual interest payment on December 31,20Y1, and the amortization of the bond premium, using the straight-line method. Round to the nearest dollar. Theck My Work The straight-line method of amortization provides equal amounts of amortization over the life of the bond. 3. Determine the total interest expense for 20Y1. Round to the nearest dollar. 5. Compute the price of $25,028,370 received for the bonds by using the Present value at compound interest, and Present value of an annuity. Round your PV value to 5 decimal places and the final answers to the nearest dollar. Your total may vary slightly from the price given due to rounding differences