On January 1, 2013, Boston Enterprises issues bonds that have a $1,750,000 par value, mature in 20 years, and pay 10% interest semiannually on June 30 and December 31. The bonds are sold at par.

1. How much interest will Boston pay (in cash) to the bondholders every six months?
(Par (maturity) Value)) x (Semianual Rate) = Semiannual Cash Interest Payment

2. Prepare journal entries for the following.
a) The issuance of bonds on january 1, 2013. (record the issue of bonds at par on January 1, 2013.
b) The first interest payment on June 30, 2013. (Do not round intermediate calculations)
c) The second interest payment on December 31, 2013. (Do not round intermediate calculations)

3. Prepare the journal entry for the issuance of bonds assuming.
a) The bonds are issued at 96. (Record the issue of bonds with a par value of $1,500,000 at 96 cash on January 1, 2013).
b) The bonds are issued at 104. (Record the issue of bonds with a par value of $1,500,000 at 104 cash on January 1, 2013).

Explanation:

1. Semi-annual cash interest payment = Par value x Interest rate x 1/2

  Semi-annual cash interest payment = 1,750,000 x 0.10 x 1/2

  Semi-annual cash interest payment = $87,500

Jan.1, 2013      Cash                                                               1,750,000

                              Bonds payable                                                      1,750,000      

Jun.30, 2013  Bond Interest Expense                                    87,500

                                   Cash                                                                    87,500

Dec.31, 2013   Bond Interest Expense                                    87,500

                                   Cash                                                                    87,500

Jan.1, 2013      Cash (1,500,000*0.96)                                 1,440,000

                        Discount                                                            60,000

                                Bonds payable                                                    1,500,000

Jan.1, 2013      Cash (1,500,000*1.04)                                   1,560,000

                                Premium                                                              60,000

                                Bonds Payable                                                    1,500,000

answer; the above statement is (true);

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'