Question: Required1,2,3,5 Saved Wk 4 - Apply: Homework [due day 7] i 2 On January 1, 2021, Bradley Recreational Products issued $140,000, 8%, four-year bonds. Interest
Required1,2,3,5
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Saved Wk 4 - Apply: Homework [due day 7] i 2 On January 1, 2021, Bradley Recreational Products issued $140,000, 8%, four-year bonds. Interest is paid semiannually on June 30 and December 31. The bonds were issued at $130,952 to yield an annual return of 10%. (FV of $1, PV of $1, EVA of $1, PVA of $1, EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 25 points Required: 1. Prepare an amortization schedule that determines interest at the effective interest rate. 2. Prepare an amortization schedule by the straight-line method. 3. Prepare the journal entries to record interest expense on June 30, 2023, by each of the two approaches. 5. Assuming the market rate is still 10%, what price would a second investor pay the first investor on June 30, 2023, for $14,000 of the Book bonds? Print Complete this question by entering your answers in the tabs below. n References Required 1 Required 2 Required 3 Required 5 Prepare an amortization schedule that determines interest at the effective interest rate. (Enter your answers in whole dollars.) Payment Cash Effective Increase in Number Payment Interest Balance Carrying Value 1 2 3 4 5 6 8 Totals $ 0 $ 0 $ 0 Required 1. Required 2 >
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