On January 1, 2015, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.
Required:
Assuming the market interest rate on the issue date is 10%, the bonds will issue at $457,102.
- Complete the first three rows of an amortization table.
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Cash Payment |
Interest Expense |
Bond payable |
Carrying value |
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