4.Burke’s Boots makes custom leather boots with sales worldwide. Thepopularcompany went public five years ago and generated substantial resources from the sale of company stock at that time. This year (2021), the company is issuing $100,000,000 in 5% bondsdated January 1, 2021to help expand operations in even more countries. The company engaged First Boston Corp. to make a market in the bonds to help get the issuance sold to the public. First Boston informed Burke’s financial managers that the bonds would likely sell at a premium because the market rates went down to 4% from the time First Boston purchased the bonds until First Boston sold the bonds in the open market. First Boston charges 0.5% of the face value of the bonds as a commission for making a market for the bonds. The bonds sold on February 1, 2021, pay interest every six months (dated from the original bond debenture date), and mature on December 31, 2025 Two clients of First Boston bought the entire bond issuance. a.At what amount did the bonds sell on February 1, 2021 including all costs? Show the journal entry and all computations. b.Create an amortization scheduleusing the effective interest method(You may use Excel for the schedule and copy and paste it as a picture into your problem file) for the entire five years of payments. c.Show all journal entries relatedto interest for 2021 and 2022.d. Show the journal entries for the interest payments for 2024 and 2025 as well as the payoff of the loans at maturity date.5.Using the data from Problem 4, a. Repeat the entire problem but use straight-line amortization. b. What is the largest difference between interest expense under effective interest versus the straight-line method?c. Do you consider this different to be a material difference? (Assume the company’s total assets are $15,000,000, and the total sales in 2020 were $7,500,000). Why or why not?