Bringham Company issues bonds with a par value of $610,000. The bonds mature in 9...
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Bringham Company issues bonds with a par value of $610,000. The bonds mature in 9 years and pay 9% annual interest in semiannual payments. The annual market rate for the bonds is 12%. (Table B. Table B2. Table B 3, and Table B4) (Use appropriate factor(s) from the tables provided.) 1. Compute the price of the bonds as of their issue date. 2. Prepare the journal entry to record the bonds' Issuance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the price of the bonds as of their issue date. (Round all table values to 4 decimal places, and use the rounded table values in calculations. Round intermediate calculations to the nearest dollar amount.) Table Values are Based on: Cash Flow Amount Present Value 6.0% Table Value 10.8270 0.3503 Par (maturity) value Interest (annuity) Price of bonds $ 27,450 $ 610,000 297,201 213,683 510,884 Required 2 > Journal entry worksheet Record the issuance of the bonds for cash. Note: Enter debits before credits. Transaction General Journal Debit Credit S LLLL PER MONITORIMIT I Record entry Clear entry View general journal
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