Use the present value tables to calculate the issue price and make the journal entry of a $100,000 bond issue in each of the following independent cases. Assume that the bond was issued on January 1, 2010 and that interest is paid semi-annually on June 30 and December 31.

1. A10-year, 12 percent bond issue; the market interest rate is 8 percent

Tants 2 Present Value of $1 \$1