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E15-3(LO2,3) AP Whittemore Corp. issued $500,000 of 3-year, 4% bonds on May 1,2024. The market...

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Accounting

E15-3(LO2,3) AP Whittemore Corp. issued $500,000 of 3-year, 4% bonds on May 1,2024. The market interest rate when the bonds were issued was 6%. Interest is payable quarterly.
Instructions
a. What is the number of interest payments that will be made over the life of the bond?
b. How much interest will be paid each period?
c. Determine the price of the bond.
d. Prepare the journal entry to record the issuance of the bond.
Calculate present value of bonds and record bond issuance.
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