Ike issues $100,000 of 13%, three-year bonds dated January 1, 2015, that pay interest semiannually on June 30 and December 31. They are issued at $102,462. Their market rate is 12% at the issue date.

3. Prepare an effective interest amortization table for the bonds' first two years. (Enter all amounts positive values.) Answer is complete but not entirely correct Semiannual Cash Interest Bond Interest Premium Paid Expense Amortization Premium Carrying Value Interest Period- End 2,462 102,462 01/01/2015 1,085X 6,500 5,123X 1,377X 101,085X 06/30/2015 1,446X 5,054X 3,969X 6,500 103,969X 12/31/2015 5,198X 1,032X 102,667 6,500 2,667X 06/30/2016 x 1,367x 5,133X 101,300 6,500 12/31/2016 1,300