MMR Corp. Issued $80,000 of 6%, 5-year bonds on December 31, 2015. Interest is paid semi-annually on June 30 and December 31. Consider the following for these bonds:____

Determine the semi- annual cash interest payment:

Assume the bods were issued at 103 on December 31, 2015 and answer the following:

How much cash did MMR corp receive on 12/31/2015____

was the market rate of interest (high) or (lower) than the contractual rate of interest?____

What is the carrying value of the bonds on 12/31/2015?____

How much interest expense will be recognized on 6/30/2016?____

What is the carrying value of the bonds on December 31, 2017(after making 4 interest payment)?______