E$9-23($Static$)$ Computing the Issue Price of a Bond with Analysis of Net Earnings and Cash Flow Effects LO$9-3,9-8$

Imai Company issued a $$1$ million bond that matures in five years. The bond has a $9$ percent coupon rate. When the bond was issued, the market interest rate was $8$ percent. The bond pays interest twice per year, on June $30$ and December $31.$ Use Table $8$C$\mathrm{.}1,$ Table $8C\mathrm{.}2.$

Required:

Record the issuance of the bond on June $30.($Round time value factor to $4$ decimal places. Enter your answer in dollars not in millions. Round intermediate and final answers to the nearest whole dollar. If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

Journal entry worksheet

$1$

Record the issuance of bond on June $30$th$.$

Note: Enter debits before credits.

Date

General Journal

Debit

Credit