On January $1.2024,$ Instaform, Incorporated, issued $12\%$ bonds with a face amount of $$70$ million, dated January $1.$

The bonds mature in $2043(20$ years$).$

The market yield for bonds of similar risk and maturity is $14\%$

Interest is paid semiannualy.

Required:

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

$1-$b$.$ Prepare the journal entry to record their issuance by instaform.

$2-$a$.$ Assume the market rate was $11\%.$ Determine the price of the bonds at January $1.2024.$

$2-$b$.$ Assume the market rate was $11\%.$ Prepare the journal entry to record their issuance by Instaform.

Assume Broadcourt Electronics purchased the entire issue in a private placement of the bonds. Using the data in requirement $2.$

prepare the journal entry to record the purchase by$.$ Broadourt

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.

Req $1$ A

Req $28$

Reg $3$

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

Note: Enter your answer in whole dollars.