ACTG $306$ Day $5$ Practice Problems $-$ Bonds!

Spring $2024$

$3.$ Market rate: $3\%$

a$.$ If the market rate for these bonds is $3\%,$ at what price will Jolt sell these bonds?

b$.$ Give Jolt's JE for the bond issuance on Jan. $1,2024$:

$\backslash$table$[[$Cash$,287,497,],[$Prmium$,,37,497],[68,,250,000]]$

c$.$ Give Jolt's JE for the first interest payment on March $31,2024$ :

$\backslash$table$[[$interest expense,$2,156,],[$Premium$,344,],[$Cash$,,2\mathrm{.}500]]$

d$.$ Give Jolt's JE for the SECOND interest payment on June $30,2024$:

$\backslash$table$[[$interax$,2,154,],[$Premilm$,346,],[$Cash$,,2,500]]$

Cangins veine: $287,497$