Bond Premium with Interest Paid Semiannually Apple Corporation issued $200,000 of 3-year bonds with a stated interest rate of 12 percent on January 1. Interest is paid every 6 months. The current market rate for simtlarly rated bonds at the time of issue was 10 percent, and Apple received $210,152 for the bonds. Assuming straightline amortization of the bond premium is used in computing interest expense:

a. What amount of interest expense will Apple report for each semiannual interest-payment period?

b. Prepare a bond interest and amortization table for the life of the bonds, as illustrated in Exhibit 11-4.