a. ER issued for $2,060,000, two thousand of its 9%, $1,000 callable bonds. The bonds are dated January 1, 2019, and mature many years from now. Interest is payable semi- annually on January 1 and July 1. The bonds can be called by the issuer at $102 on any interest payment date after December 31, 2023. The unamortized bond premium was $28,000 at December 31, 2021, and the market price of the bonds was $99 on this date. In its December 31, 2021, balance sheet, at what amount should GC report the carrying value of the bonds?

1. $1,980,000

2. $2,028,000

3. $2,032,000

4. $2,040,000

5. Cannot answer; the bond term is not given

B. On September 1, 2020, ER issued 11%, 10 year bonds dated June 1, 2020, in the face amount of $140,000, with interest payable July 1 and December 31. The bonds were sold for $140,000. How much should ER debit to cash on September 1, 2020?

O 1. $140,000

O 2. $142,567

3. $147,700

O 4. Cannot be determined from the information given