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Following are the non-strategic investment transactions of Corona Inc.: 2020 Jan. 1 Purchased for $82,515 an 10.0 %, $79,000 bond that matures in 13
Following are the non-strategic investment transactions of Corona Inc.: 2020 Jan. 1 Purchased for $82,515 an 10.0 %, $79,000 bond that matures in 13 years from Hanna Corporation when the market interest rate was 9.4%. Interest is paid semiannually beginning June 30, 2020. June 30 Received interest on the Hanna bond. July 1 Paid $121,310 for a Trust Inc. bond with a par value of $124,000 and a eight-years term. The bond pays interest quarterly beginning September 30, 2020, at the annual rate of 9.8%; the market interest rate on the date of purchase was 10.2%. Sept. 30 Received interest on the Trust bond. Dec. 31 Received interest on the Hanna and Trust bonds. 31 The fair values of the bonds on this date equalled the fair values. Required: 1. For each of the bond investments, prepare an amortization schedule showing only 2020 and 2021. (Round your intermediate and final answers to the nearest whole dollar amount. Enter all the amounts as positive values.) Partial Amortization Schedule - Hanna Bond: Period Ending Cash Interest Period Interest Received Income Premium Amort. Unamortized Premium Carrying Value Jan. 1/20 June 30/20 Dec. 31/20 June 30/21 Dec. 31/21
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