Question LTD-002. Ladjadja Software Ltd. has successfully developed a new spreadsheet programme. To produce and market the programme, the company needs additional financing. Shareholders have contributed equity capital to start the company and develop the software. On 1 January, 2020, Ladjadja borrowed money as follows.. I. II. Ladjadja issued R1 million, 10%, 10-year bonds at face value. Interest is payable annually on 5 January. Ladjadja also issued a R400,000, 6%, 15-year mortgage payable to ABASA, a group of young accountants. The terms provide for annual installment payments of R41,185 on 31 December. Instructions a. For the 10-year, 10% bonds: i. Journalize the issuance of the bonds on January 1, 2020. ii. Prepare the journal entries for interest expense in 2020. iii. Prepare the entry for the redemption of the bonds at 101 on January 1, 2023, after paying the interest due on this date. b. For the mortgage payable: i. Prepare the entry for the issuance of the note on 1 January 2020. ii. Prepare a payment schedule for the first four instalment payments. iii. Indicate the current and non-current amounts for the mortgage payable on 31 December 2020.