On January 1, a company issues bonds dated January 1 with a par value of $490,000. The bonds mature in 5 years. The cont

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answerhappygod
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On January 1, a company issues bonds dated January 1 with a par value of $490,000. The bonds mature in 5 years. The cont

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On January 1, a company issues bonds dated January 1 with a parvalue of $490,000. The bonds mature in 5 years. The contract rateis 7%, and interest is paid semiannually on June 30 and December31. The market rate is 8% and the bonds are sold for $470,146. Thejournal entry to record the issuance of the bond is:
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