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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
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.
F) 15-year,12 percent bond issue; the market interest rate is 10 percent
G) 15-year, 10 percent bond issue; the market interest rate is 12 percent
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