Exercise 10-9 (Algo) Straight-Line: Amortization of bond premium LO P3 Quatro Company issues bonds dated January 1, 2021, with a par value of $810,000. The bonds' annual contract rate is 12%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 10%, and the bonds are sold for $851,101. 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare a straight-line amortization table for these bonds. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a straight-line amortization table for these bonds. (Round your intermediate calculations to the nearest dollar amount.) Semiannual Interest Unamortized Period-End 01/01/2021 Carrying Premium Value 06/30/2021 12/31/2021 06/30/2022 12/31/2022 06/30/2023 12/31/2023 Exercise 10-9 (Algo) Straight-Line: Amortization of bond premium LO P3 Quatro Company issues bonds dated January 1, 2021, with a par value of $810,000. The bonds' annual contract rate is 12%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 10%, and the bonds are sold for $851,101 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare a straight-line amortization table for these bonds. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much total bond interest expense will be recognized over the life of these bonds? Total Bond Interest Expense Over Life of Bonds: Amount repaid: 6 payments of Par value at maturity $ 48,600 $ 291,600 810,000 Total repaid 1,101,600 Less amount borrowed 851,101 Total bond interest expense $ 250,499 < Required 1 Required 3 > Exercise 10-9 (Algo) Straight-Line: Amortization of bond premium LO P3 Quatro Company issues bonds dated January 1, 2021, with a par value of $810,000. The bonds' annual contract rate is 12%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 10%, and the bonds are sold for $851,101 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare a straight-line amortization table for these bonds. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the amount of the premium on these bonds at issuance? Premium $ 41,101