12- Bond Premium and Discount: READ CAREFULLY

a) William, Inc. issued $500,000 of 10 years, 4% bonds at 102. The cash proceed from the bond issue are ___________________.

b) Dean, Inc. issued $350,000 of 6 years, 5% bonds at 97. The cash proceeds from the bond issue are ________________.

c) Daniel, Inc. issued $125,000 of 20 year, 6% bonds at 98. The amount of the bond premium is _________________.

d) Steel, Inc. issued $800,000 of 5 years, 7% bonds at 101. The amount of the bond premium is ___________________.