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Lesney Inc issued $1,000,000 4% 5 year bonds on December 31, 2021. The current market rate is 6% The corporation uses the effective interest amortization
| Lesney Inc issued | $1,000,000 | 4% | 5 | year bonds on December 31, 2021. | |||
| The current market rate is | 6% | The corporation uses the effective interest | |||||
| amortization method. Interest is payable semiannually on June 30 and December 31. | |||||||
| Prepare an amortization schedule for the first five payment periods using the format shown below: | |||||||
| Period Ending | Cash Interest paid | Period Interest Expense | Discount/Premium Amortized | Unamortized Discount | Carrying Value | ||
| 12/31/2021 | |||||||
| 6/30/2022 | |||||||
| 12/31/2022 | |||||||
| 6/30/2023 | |||||||
| 12/31/2023 | |||||||
| 6/30/2024 | |||||||
| 12/31/2024 | |||||||
| 6/30/2025 | |||||||
| 12/31/2025 | |||||||
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