Question: Hillside issues $4,000,000 of 6%, 15 year bonds dated Jan 1, 2015 that pay interest semiannually on June 30 and December 31. The bonds are issued at a price of $3,456,448.
1. Prepare journal the jan 1 journal entry to record teh bonds issuance
2. For each semiannual period compute a) the cash payment b) the straight-line amortization and c) the bond interest expense
3. Determine the toal bond interest expense to be recognized over lthe bond's life
4. Prepare the 1st two years of an amortization table using the straight line method.
5. Prepare journal entries to record the 1st 2 interest payments.