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Smilly Copperation whaleakles rapair preduete to etguipmant marnufacturers. On (effective) intasest rale of gy, reeaiving cash of ma7, 414, fas. Intarast ia pay alke serriarmually on April 1 and Oetubar 1 . EGUITY 31. Coweman Stork 312. Paid in Copiut in Exoess of Par Carmon Slock J16. Trensury stack 371 Rreferipdstich 322 Pars Ch Capeni wn Fxcees 1 P Par Preferted Stock Syl: Pald to Cipunat tom Sute of Treesury Stock T40 freanded fimings 35 t: 6igh 2 whimends Whi Stoch Duidering Joumalie the entries. Refer to the Chart or Accounts for exact woroing of account tales. Found to the nearest doliar b. Explain why the company was able to issue the bonds for $27,414,835 rather than for the face amount of $25,100,000. The bonds sell for more than lheir face amourt becausa the market rate of inierest is the coniract rale of inlerest. investors willing to pay more for bonde that pay a higher rate of interest (contract rate) than the rate they could earn on similar bonde (market rate)