Exhibit 14-3

Nazzi, Inc. sold $400,000 of its 9%, 5-year bonds dated January 1, 2010, on May 1, 2010, for $393,000 plus accrued interest. Interest is paid on January 1 and July 1 and straight-line amortization is used.

Refer to Exhibit 14-3. The net liability for the bonds after recording the sale would be: $408,000

$407,700

$400,000

$393,000