HW 9 # 8

Halbach Corporation issued $700,000 of 6%,10-year bonds payable on January 1,2022 . The market interest rate at the date of issuance was 4%, and the bonds pay interest semiannually (on June 30 and December 31). Halbach Corporation's year-end is June 30. Halbach prepared an effective-interest amortization table for the bonds through the first three interest payments as follows: (Click the icon to view the amortization schedule.) Read the requirements. 1. How much cash did Halbach Corporation borrow on January 1, 2022 ? How much cash will Halbach Corporation pay back at maturity? On January 1, 2022, Halbach borrowed At maturity Halbach will pay back Halbach Corporation issued $700,000 of 6%,10-year bonds payable on January 1,2022 . The market interest rate date of issuance was 4%, and the bonds pay interest semiannually (on June 30 and December 31 ). Halbach Comaration's vearoend is lune 3n. Halhach nrenared an effectwea interest amortization tablo for the bonds through Reference ach Corporation Requirements Use the amortization table for Halbach Corporation's bonds to answer the following questions: 1. How much cash did Halbach Corporation borrow on January 1, 2022? How much cash will Halbach Corporation pay back at maturity? 2. How much cash interest will Halbach Corporation pay each six months? 3. How much interest expense will Halbach Corporation report on June 30, 2022, and on December 31, 2022? Does the amount of interest expense increase or decrease each period? Why