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Bond Investment Discount Amortization Schedule Tudor Company acquired S500,000 of Carr Corporation bonds for $487,706.69 on January 1, 2016. The bonds carry an 11%

Bond Investment Discount Amortization Schedule Tudor Company acquired S500,000 of Carr Corporation bonds for $487,706.69 on January 1, 2016. The bonds carry an 11% stated interest rate, pay interest semiannually on January 1 and July 1, were issued to yleld 12%, and are due January 1, 2019. Required: 1. Prepare an investment interest income and discount amortization schedule using the: a. straight-line method b. effective interest method 2. Prepare the July 1, 2018, journal entries to record the interest income under both methods.

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