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1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 Tano Company issues bonds with a par value of $98,000 on January 1 of the current year. The bonds' annual contract rate is 7%, 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 100%, and the bonds are sold for $90,539. Par value Contract rate Term Market rate Proceeds Payments per year Required: $98,000 3 years $90,539 2 I. What is 'the amount of the discount on these bonds at issuance? iscount $7,461 2. How much total bond interest expense will be recognized over the life of these bonds? otal Bon Amount repaid: Over Life of Bonds payments of Par value at maturity Total repaid Less amount borrowed Total bond interest expense 3. Prepare a straight-line amortization table for these bonds. nual discount amortization Ca lu (O) (2) (3) (4) (5) (6) SemiannuaC d eri 1/1/2024 6/30/2024 12/31/2024 6/30/2025 12/31/2025 6/30/2026 12/31/2026 Unamordzed Discount

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