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On January 1 , 2 0 2 1 , Mania Enterprises issued 1 2 % bonds dated January 1 , 2 0 2 1 ,
On January Mania Enterprises issued bonds dated
January with a face amount of $ million. The bonds
mature in years For bonds of similar risk and maturity,
the market yield is Interest is paid semiannually on June
and December FV of $ PV of $ FVA of $ PVA of $ FVAD of
$ and PVAD of $Use appropriate factors from the tables
provided. Round your intermediate calculations to the nearest whole
dollar.
Required:
Determine the price of the bonds at January
Prepare the journal entry to record the bond issuance by Mania
on January
Prepare the journal entry to record interest on June
using the effective interest method.
Prepare the journal entry to record interest on December
using the effective interest method.
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