4 12.5 On January 1, 2018 Loop Raceway issued 500 bonds, each with a foce value of $1.000, a stated interest rate of 7 percent pald annually on December 31, and a maturity date of December 31, 2020. On the issue date, the market interest rate was 8 percent, so the total proceeds from the bond issue were $487099. Loop uses the straight line bond amortization method and adjusts for any rounding errons when recording interest in the final year Required: 1. Prepare a bond amortization schedule. 2-5. Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, ot a price of 99 Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 5 Prepare a bond amortization schedule. Changes During the Period P Cash Discount Ainartind Interest Expense Ending Bond Liability Balances Bonds Discount on Carrying Bonde Payable Payable Vale $ $ D 01/01/18 12/31/18 12/31/10 1231/20 0 OoOo 0 Reg 2 t> Saved Help Chapter 10 - Homework Assignment 4 On January 1, 2018, Loop Raceway issued 500 bonds, each with a face value of $1,000, a stated interest rate of 7 percent pald annually on December 31, and a maturity date of December 31, 2020. On the issue date, the market interest rate was 8 percent, so the total proceeds from the bond issue were $487,099. Loop uses the straight-line bond amortization method and adjusts for any rounding errors when recording interest in the final year. 12.5 Required: 1. Prepare a bond amortization schedule. 2-5. Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, at a price of 99. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2005 Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the band retirement. Assume the bonds are retired on January 1, 2020, at a price of 99. (If no entry is required for a transaction/event, select 'No Journal Entry Required in the first account field.) View transaction lit Journal entry worksheet 1 2 3 4 5 Record the issuance of 500 bonds at face value of $1,000 each for $487,099. value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 20 no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Book Journal entry worksheet