Question: Paying off marketable debt early - Example . Company A issued $ 3,000,000 of bonds paying 4% on January 1, 2016 . The bonds matures

Paying off marketable debt early - Example . Company A issued $ 3,000,000 of bonds paying 4% on January 1, 2016 . The bonds matures in 5 years . Interest is paid semi annually (June 30 and December 31) . The market rate of interest was 5% at the time of . On December 31, 2017 Company A repurchased the issuance bonds in the market place when the market interest rate was 3.5% Prepare the journal entries for 2016 and 2017

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