Assume that the notes to Echo Valley Ltd.’s financial statements reported the following data about their $2,000,000 debentures on September 30, 2020: 

NOTE E: LONG-TERM DEBT
5 percent debentures due 2033, net of unamortized discount of
$223,162 (effective interest rate of 6.0 percent) ..................................... $1,776,838

Echo Valley Ltd. amortizes the discount by the effective-interest method. Round all calculated amounts to the nearest whole dollar.

Required

1. Answer the following questions about Echo Valley’s long-term liabilities:

a. What is the maturity value of the 5 percent debentures?

b. What is the carrying amount of the 5 percent debentures at September 30, 2020? 2021?

c. What are Echo Valley’s annual cash interest payments on these debentures?

2. Prepare an amortization table through September 30, 2022. Echo Valley pays interest annually on September 30.

3. Record the September 30, 2022, interest payments.

4. What is Echo Valley’s carrying amount of the debentures at September 30, 2022, immediately after the interest payment?