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Maturity value: $1,000,000 Stated interest rate: 8% Date of issue: January 1, 2019 Effective (market) interest rate: 10% Requirements Maturity date: January 1, 2024 Interest

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Maturity value: $1,000,000 Stated interest rate: 8% Date of issue: January 1, 2019 Effective (market) interest rate: 10% Requirements Maturity date: January 1, 2024 Interest payments are made annually on December 31st The bond is dated January 1,2019 A. At what price were the bonds issued? Using the effective int annual discount or premium amortization, and carrying value through December 31, 2021. B. erest method, prepare an amortization schedule showing annual interest expense, C. How would the bonds be reported on the December 31, 2020 balance sheet

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