Question: In Class Problem Tower Company issues 10,$1,000 term bonds on January 1, 2017, With a 5 year maturity, interest paid semiannually at 10%. The bonds

In Class Problem Tower Company issues 10,$1,000 term bonds on January 1, 2017, With a 5 year maturity, interest paid semiannually at 10%. The bonds pay interest on June 30 and December 31 each year. On January 1st, the market rate of interest was 8% Required: 1. Calculate the present value of the bonds 2. Prepare the journal entry on January 15, 2017 to record the issuance 3. Prepare the journal entries on June 30 and December 31, 2017 to record the payment of interest using the effective interest method. 4. Prepare an effective amortization schedule for the 5 years

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