Chapter 14, Assignment 1

2.)

Please show work

Journal entry worksheet Record the interest on June 30, 2024 (at the effective rate). Note: Enter debits before credits. Journal entry worksheet Record the interest on December 31, 2024 (at the effective rate). Note: Enter debits before credits. The Bradford Company issued 12% bonds, dated January 1 , with a face amount of $81 million on January 1,2024. - The bonds mature on December 31, 2033 (10 years). - For bonds of similar risk and maturity, the market yield is 14%. - Interest is paid semiannually on June 30 and December 31. Required: 1. Determine the price of the bonds at January 1, 2024. 2. to 4. Prepare the journal entries to record their issuance by The Bradford Company on January 1, 2024 , interest on June 30, 2024 (at the effective rate) and interest on December 31, 2024 (at the effective rate). Note: Use tables, Excel, or a financial calculator. (FV of $1, PV of $1, FVA of $1,PVA of $1,FVAD of $1 and PVAD of \$1) Complete this question by entering your answers in the tabs below. Determine the price of the bonds at January 1, 2024. Note: Enter your answer in whole dollars. Journal entry worksheet Record the bond issuance by the Bradford Company. Note: Enter debits before credits