5) Bush Company authorized $150,000 of 5-year bonds dated January 1, 20X1. The stated rate of interest was 14%, payable each June 30 and December 31. The bonds were issued on January 1, 20X1, when the market interest rate was 12%. Assume effective-interest amortization. (The present value factor for $1 at 6% for 10 periods is 0.5584, for $1 at 7% for 10 periods is 0.5083, for $1 at 14% for 5 periods is 0.5194, and for $1 at 12% for five periods is 0.5674. The present value of an annuity of $1 for 10 periods at 6% is 7.3601, for 10 periods at 7% is 7.0236, for 5 periods at 6% is 4.2124, and for 5 periods at 7% is 4.1002.) Round to the nearest dollar. (a) What would be the amount of premium amortization for June 30, 20X1? (b) What would be the amount of premium amortization for December 31, 20X1? (c) What would be the amount of the interest payment on June 30, 20X1? (d) What would be the amount of the interest payment on December 31, 20X1?

6) On November 1, 20X1, Rossy Co. purchased $100,000, 9%, ten-year bonds of Bossy Corporation at a cost of $100,000 as a held-to-maturity investment. The bonds pay interest semi-annually each April 30 and October 31. Give the journal entries required for the following dates: November 1, 20X1 December 31, 20X1 (End of account period) April 30, 20X2

9) Casey Corporation has the following capital shares outstanding: (a) Common shares, 6,000 shares. (b) $.80 preferred shares, 2,000 shares, cumulative, with 2 years in arrears excluding the current year. A cash dividend of $6,000 was declared and paid near the end of the current year. (a) Total dividends received by the preferred shareholders would be $________. (b) Total dividends received by the common shareholders would be $________.