Question: On January 1, 2020, Loop de Loop Raceway issued 620 bonds, each with a face value of $1,000, a stated interest rate of 7 percent

7 percent paid annually on December 31, and a maturity date of

December 31, 2022. On the issue date, the market interest rate was

8 percent, so the total proceeds from the bond issue were $604,002.

Loop de Loop uses the straight-line bond amortization method. Required: 1. Prepare

On January 1, 2020, Loop de Loop Raceway issued 620 bonds, each with a face value of $1,000, a stated interest rate of 7 percent paid annually on December 31, and a maturity date of December 31, 2022. On the issue date, the market interest rate was 8 percent, so the total proceeds from the bond issue were $604,002. Loop de Loop uses the straight-line bond amortization method. Required: 1. Prepare a bond amortization schedule. 2. Prepare the journal entry to record the bond issue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Note: Enter debits before credits. Prepare the journal entries to record the interest payments on December 31, 2020, and 2021. (If no entry is required for a ransaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the interest payments on December 31, 2020. Note: Enter debits before credits. . Prepare the journal entries to record the interest payments on December 31, 2020, and 2021. (If no entry is required for a "ansaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the interest payments on December 31, 2021. Note: Enter debits before credits. 4. Prepare the journal entry to record the interest and face value payment on December 31,2022 . (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the interest and face value payment on December 31, 2022. Note: Enter debits before credits. 5. Assume the bonds are retired on January 1, 2022, at a price of 98 . Give the journal entries to record the bond retirement. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Note: tnter debits betore credits

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