Exercise $14-7($Algo$)$ Determine the price of bonds; issuance; straight$-$line method $[$LO$14-2]$

Universal Foods issued $8\%$ bonds, dated January $1,$ with a face amount of $$225$ million on January $1,2024.$

The bonds mature on December $31,2033(10$ years$).$

The market rate of interest for similar issues was $10\%.$

Interest is paid semiannually on June $30$ and December $31.$

Universal uses the straight$-$line method'

Required:

Determine the price of the bonds at January $1,2024.$

to $4.$ Prepare the journal entries to record their issuance by Universal Foods on January $1,2024,$ interest on June $30,202$ interest on December $31,2031.$

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)$