6. On January 1, 2018, Aggie issued S20000of 9%, five-year bonds payable for S225570 At issue the market rale of itterest was 6%, Aggie has extra cash and wishes to retire the bonds payable on January 1, 2019, immediately after making the second semiannual interest payment. To retire the honds, Agpie pays the market price of 96. Aggie uses the effective interest method to amortize bond discount or premium. How much is Aggies gain or loss on the early retirement? A. $20,196 loss B. $37.969 gain C. $33,637 gain D. $29,037 gain E $12,196 loss 7. Answer the following as true or false and then select the correct multiple-choice answer To find the carrying value of a bond issued at a discount, subtract the amortized discount from the face value of the bond For a bond issued at a premium, the cash interest payment will decrease over the life of the bond The carrying value of a bond issued at face value will not change over the life of the bond A. True, True, True B. False, False, False C. False, False, True D. True, False, True E. True, True, False 8. A company issues a $150000, six-year 6% bond on January 1, 2018. Interest is payable semi-annually. The market rate of interest is 4%. Find the selling price of the bond. A.$150,000 $166088 C.$165,678 D.$142,089 E.$165,788 9. Which of the following statements is false? A. Premium on bonds payable increases the carrying value of the bond. B. Recording interest expense on a bond issued at a discount increases a company's liability C. The amount of premium amortized each interest payment decreases over the life of the bond D.For a bond issaed at face value interest expense equals the cash interest payme. E. Noee of the above statements are false. 10. If bonds are the issuing company can buy the bonds back at a stated price before the maturity date A. Convertible B. Callable C. Term D. Serial E. Debenture