answer 10-13

Use the following to answer questions 8 10 (Round answers to the nearest dollar) TR Corp issues 4%, 10-year bonds with a total face amount of $1,000,000. The market interest rate for bonds of similar risk and maturity is 4%. Interest is paid semiannually. 10. $ What is the bond liability carrying amount) after the 2nd interest payment? Use the following to answer questions 11 - 15 TR issues 8.0%, 20-year bonds with a face amount of $1,000,000 for $1,009,891.64. The market interest rate for bonds of similar risk and maturity is 7.9%. Interest is paid annually. Determine the interest 11. $ payment. 12. $ (rounded to nearest dollar). Determine interest expense for the first interest payment. 13. What will happen to interest expense each interest payment? (Increase, decrease, remain constant)