ABC Corp. issued $8,000,000 of 8% debentures on January 1, 2018. The bonds pay interest semiannually on July 1 and January 1. The maturity date on these bonds is January 1, 2026. The firm uses the effective-interest method of amortizing discounts and premiums. The bonds were sold to yield an effective interest rate of 10%.

Required: Compute the present value of the bonds and the amortization table. During the test, I will provide additional instructions.