Compute Bond Proceeds, Amortizing Discount by Interest Method, and Interest Expense Boyd Co. produces and sells aviation equipment. On the first day of its fiscal year, Boyd Co. issued $70,000,000 of three-year, 12% bonds at a market (effective) interest rate of 14%, with interest payable semiannually. Compute the following: a. The amount of cash proceeds from the sale of the bonds. Use the tables of present values in Exhibit 5 and Exhibit 7. Round to the nearest dollar. b. The amount of discount to be amortized for the first semiannual interest payment period, using the interest method. Round to the nearest dollar. $ c. The amount of discount to be amortized for the second semiannual interest payment period, using the interest method. Round to the nearest dollar. d. The amount of the bond interest expense for the first year. Round to the nearest dollar. Present Value of Ordinary Annuity of $1 per Period Periods 4.0% 6% 7% 4.5% 5% 5.5% 6.5% 0.96154 0.95694 0.95238 0.94787 0.94340 0.93897 0.93458 1.87267 1.83339 182063 1.80802 2 1.88609 185941 184632 2.77509 2.72325 2.74896 2.69793 2.67301 2.64848 2.62432 3.58753 346511 4 3.62990 3.54595 3.50515 342580 3.38721 4.45182 432948 4.21236 4.15568 4.10020 5 4.38998 4.27028 4.99553 6 5.24214 5.15787 5.07569 4.91732 4.84101 4.76654 6.00205 7 5.89270 5.78637 5.68297 5.58238 5.48452 5.38929 6.20979 6.73274 6.08875 5.97130 8 6.59589 646321 6.33457 9 7.43533 7.26879 7.10782 6.51523 6.95220 6.80169 6.65610 7.91272 7.53763 7.18883 7.02358 10 8.11090 7.72173 7.36009 11 8.76048 8.52892 8.30641 8.09254 788687 7.68904 7.49867 9.38507 8.61852 7.94269 12 9.11858 8.86325 8.38384 8.15873 9.98565 9.39357 8.59974 8.35765 13 9.68285 9.11708 8.85268 10.56312 9.89864 9.29498 14 10.22283 9.58965 9.01384 8.74547 11.11839 10.73955 9.10791 15 10.37966 10.03758 9.71225 9.40267 11.65230 10.10590 9.44665 16 11.23402 10.83777 10.46216 9.76776 11.70719 10.86461 10.47726 10.11058 9.76322 17 12.16567 11.27407 12.65930 12.15999 11.68959 11.24607 10.82760 10.43247 10.05909 18 10.33560 19 13.13394 12.59329 12.08532 11.60765 11.15812 10.73471 11.95038 11.46992 20 13.59033 13.00794 12.46221 11.01851 10.59401 21 14.02916 13.40472 12.82115 12.27524 11.76408 11.28498 10.83553 22 14.45112 13.78442 13.16300 12.58317 12.04158 11.53520 11.06124 23 14.85684 14.14777 13.48857 12.87504 12.30338 11.77014 11.27219 15.24696 13.15170 12.55036 11.99074 24 14.49548 13.79864 11.46933 12.78336 25 15.62208 14.82821 14.09394 13.41393 12.19788 11.65358 26 15.98277 15.14661 13.66250 13.00317 12.39237 11.82578 1437519 16.32959 15.45130 12.57500 27 14.64303 13.89810 13.21053 11.98671 28 16.66306 15.74287 1489813 14.12142 1340616 12.74648 12.13711 14.33310 12.90749 12.27767 29 16.98371 16.02189 15.14107 13.59072 30 17.29203 16.28889 15.37245 14.53375 13.76483 13.05868 12.40904 13.92909 31 17.58849 16.54439 15.59281 14.72393 13.20063 12.53181 17.87355 32 16.78889 15.80268 14.90420 14.08404 13.33393 12.64656 17.02286 33 18.14765 16.00255 15.07507 14.23023 1345909 12.75379 17.24676 15.23703 14.36814 12.85401 34 18.41120 16.19290 13.57661 17.46101 12.94767 35 18.66461 16.37419 15.39055 14.49825 13.68696 19.79277 40 18.40158 17.15909 16.04612 15.04630 14.14553 13.33171 16.54773 1545583 13.60552 45 20.72004 19.15635 17.77407 14.48023 14.72452 50 2148218 19.76201 18.25593 16.93152 15.76186 13.80075 Present Value of Ordinary Annuity of $1 per Period Periods 10% 8% 9% 11% 12% 13% 14% 0.89286 1 0.92593 0.91743 0.90909 0.90090 0.88496 0.87719 1.78326 2 1.75911 1.73554 1.71252 1.69005 1.66810 1.64666 2.48685 2.4437 2.40183 2.32163 3 2.57710 2.53129 2.36115 3.10245 3.31213 3.23972 3.16987 3.03735 2.97447 2.91371 3.99271 3.51723 3.43308 5 3.88965 3.79079 3.69590 3.60478 6 4.62288 4.48592 4.35526 4.23054 4.11141 3.99755 3.88867 7 5.20637 5.03295 4.86842 4.71220 4.56376 4.42261 4.28830 5.74664 5.14612 4.96764 4.79677 5.53482 5.33493 4.63886 5.99525 5.75902 5.13166 6.24689 5.53705 5.32825 4.94637 6.41766 6.14457 5.88923 5.65022 10 6.71008 5.42624 5.21612 649506 5.45273 11 7.13896 6.80519 6.20652 5.93770 5.68694 6.81369 5.91765 5.66029 12 7.53608 7.16073 6.49236 6.19437 6.42355 7.90378 13 7.48690 7.10336 6.74987 6.12181 5.84236 14 8.22424 7.78615 7.36669 6.96187 6.62817 6.30249 6.00207 8.06069 7.60608 15 8.55948 7.19087 6.81086 6.46238 6.14217 8.85137 8.31256 7.82371 7.37916 6.60388 16 6.97399 6.26506 9.12164 8.54363 7.54879 7.11963 6.72909 6.37286 17 8.02155 9.37189 8.20141 7.70162 6.46742 18 8.75563 7.24967 6.83991 8.36492 7.83929 7.36578 19 9.60360 8.95011 6.93797 6.55037 9.81815 7.96333 7.46944 20 9.12855 8.51356 7.02475 6.62313 10.01680 7.56200 7.10155 21 9.29224 8.64869 8.07507 6.68696 7.1695 7.64465 22 10.20074 9.44243 8.77154 8.17574 6.74294 23 10.37106 9.58021 8.88322 8.26643 7.71843 7.22966 6.79206 24 10.52876 9.70661 8.98474 8.34814 7.78432 7.28288 6.83514 7,84314 7.32998 25 10.67478 9.82258 9.07704 8.42174 6.87293 26 10.80998 9.92897 9.16095 8.48806 7,89566 7.37167 6.90608 7.94255 6.93515 27 10.93516 10.02658 9.23722 8.54780 7.40856 11.05108 8.60162 7.44120 6.96066 28 10.11613 9.30657 7.98442 10.19828 8.65011 8.02181 747009 6.98304 29 11.15841 9.36961 11.25778 8.05518 30 10.27365 9.42691 8.69379 7.49565 7.00266 10.34280 31 11.34980 9.47901 8.73315 8.08499 7.51828 7.01988 8.11159 8.13535 9.52638 8.76860 7.53830 32 11.43500 10.40624 7.03498 8.80054 7.04823 33 11.51389 10.46444 9.56943 7,55602 8.82932 34 11.58693 10.51784 9.60857 8.15656 7.57170 7.05985 7.58557 35 11.65457 10.56682 9.64416 8.85524 8.17550 7.07005 8.24378 11.92461 10.75736 9.77905 7,63438 7.10504 40 8.95105 12.10840 10.88120 7.12322 45 9.86281 9.00791 8.28252 7.66086 12.23348 50 10.96168 9.91481 9.04165 8.30450 7.67524 7.13266