Question: Question 5 [10 points] 2 + Allarco Inc. has available for issue $480,000 bonds due in seven years. Interest at the rate of 7% is

Question 5 [10 points] 2 + Allarco Inc. has available for

Question 5 [10 points] 2 + Allarco Inc. has available for issue $480,000 bonds due in seven years. Interest at the rate of 7% is to be paid annually. Please make sure your final + answer(s) are accurate to the nearest whole number. a) Calculate the issue price if the market interest rate is 6%. Total issue price = $ b) Prepare the journal entry for the issuance of the bond on February 1. Enter an appropriate description, and enter the date in the format dd/mmm (ie. 15/Jan). General Journal Page GJ5 Date Account/Explanation F Debit Credit F

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