How much the bonds will sell for and prepare the journal entries. Effective / market rate 1

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How much the bonds will sell for and prepare the journal entries. Effective

/

market rate

11 %

Contract rate

12 %

Descartes Alarms Co

.

issued $

10, 000, 000

of a five year,

12 %

bonds with interest payable semiannually at an effective rate of

11 % .

Present value of the annuity.

2019

Jan.

1

Sale of the bond June

30

Paid the semiannual interest payment and the amortization of the bonds

2023

Dec.

31

Paid the bond at maturity.

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Survey of Accounting

ISBN: 978-0078110856

3rd Edition

Authors: Thomas P. Edmonds, Frances M. McNair, Philip R. Olds, Bor Yi

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Posted Date: May 05, 2024 09:05 PM

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How much the bonds will sell for and prepare the journal entries. Effective / market rate 1

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Calculate Present Value of Face Value of Bond Determine the face value of the bond 10000000 Use ... View the full answer

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