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In January 1, 2021, A Coffee Company issued $20,000,000 of 20-year, 10.25% bonds when the market rate of interest was 11.5%. Interest is paid semi-annually
In January 1, 2021, A Coffee Company issued $20,000,000 of 20-year, 10.25% bonds when the market rate of interest was 11.5%. Interest is paid semi-annually on June 30 and December 31.
Using Excel (NOT present value tables), compute the price at which the bond was issued.
Using Excel and the effective interest method of bond amortization, prepare an amortization table for the entire life of the bond issue. Every cell in the amortization table should include the calculation you did to get the number. Please show the formula you used.
Prepare all of the journal entries for these dates:
January 1, 2021
June 30, 2021
December 31, 2040
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Value Added Auditing CERM Academy Series On Enterprise Risk Management
Authors: Greg Hutchins
4th Edition
978-0965466554
