Question: Question 9. On Jul. 1, 20X4 M plc issues 1 million five-year debentures that pay interest each six months at a coupon rate of

Question 9. On Jul. 1, 20X4 M plc issues 1 million five-year

Question 9. On Jul. 1, 20X4 M plc issues 1 million five-year debentures that pay interest each six months at a coupon rate of 10%. At the time of issuing the securities, the market requires a rate of return of 9%. Interest expense is determined using the effective-interest method. Provide the journal entries at Jul. 1, 20X4 and Jun. 30 20X5.

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