Required Information

E$10-9($Static$)($Chapter Supplement$)$ Recording and Reporting a Bond Issued at a Discount $($without

Discount Account$)$ LO$10-4$

$[$The following information applies to the questions displayed below.$]$

Park Corporation is planning to issue bonds with a face value of $$600,000$ and a coupon rate of $7\mathrm{.}5$ percent. The bonds

mature in four years and pay interest semiannually every June $30$ and December $31.$ All of the bonds were sold on

January $1$ of this year. Park uses the effective$-$interest amortization method and does not use a discount account. Assume

an annual market rate of interest of $8\mathrm{.}5$ percent. $($FV of $$1.$ PV of $$1.$ FVA of $$1,$ and PVA of $$1)($Use the approprlete

foctor$($s$)$ from the tables provlded.$)$

E$10-9$ Part $3$

What bond payable amount will Park report on its June $30$ balance sheet?