Grocery Corporation sold $450,000, 8 percent notes on January 1 of this year at a market rate of 9 percent. The notes were dated also on January 1 with interest to be paid each December 31; they mature in 10 years. Use effective interest amortization and a discount account. Use effective-interest amortization. Use Table 9C1, Table 9C.2. X Answer is complete but not entirely correct. its GROCERY CORPORATION Financial Statements For year ended December 31 Statement of earnings Interest expense $ 37 901 IS 450.000 Statement of financial position Long-term liabilities Notes payable Less Unamortized discount Statement of cash flows Interest paid 56.788 X $ 393,212 > $ 36 000