On April 1, 2020, Quickie Mart issued a $1,000,000, bond with a stated interest rate of 9% was sold with an effective interest rate of 9%, plus accrued interest. The matures on January 1, 2027. The band was dated January 1, 2020, and interest is paid semiannually each January 1 and July 1. 

1) Calculate the PV of the principal and interest of the band using correct Excel Formula Show data inputs and related work 

2) Prepare the journal entry on April 1, 2020 to record sales, including accrued interest 

3) Using the effective interest method calculate the 1st two interest payments.

Answer rating: 100% (QA)

1 Calculate the PV of the principal and interest of the band ... View the full answer