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Business, 20.06.2021 08:00 trentonbaldwin

On January 1, Renewable Energy issues bonds that have a $30,000 par value, mature in six years, and pay 14% interest semiannually on June 30 and December 31. 1. Prepare the journal entry for issuance assuming the bonds are issued at (a) 99 and (b) 103½.

2. How much interest does the company pay (in cash) to its bondholders every six months if the bonds are sold at par?

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