9. On January 1, 2015, Johnson Enterprises issued 10% bonds dated January 1, 2015, with...
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9. On January 1, 2015, Johnson Enterprises issued 10% bonds dated January 1, 2015, with a face amount of $12 million. The bonds mature in 2020 (10 years). For bonds of similar risk and maturity, the market yield is 9% Interest is paid semiannually on July 1 and January 1. Required: Determine the price of the bonds at January 1, 2015 Prepare the journal entry to record the bond issuance by Johnson on January 1, 2015, Prepare the journal entry to record interest on June 1, 2015, using the effective interest method. Prepare the journal entry to record interest on December 31, 2015, using the effective interest method
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