Municipal Bank has $400,000 of 5% debenturo bonds outstanding. The bonds were issued at 104 in 2021 and mature in 2041 The bonds have annual interest payments Read the requirements Requirement 1. How much cash did Municipal Bank receive when it issued these bonds? At the time the bonds were issued, Municipal Bank received cash of Requirement 2. How much cash in total will Municipal Bank pay the bondholders through the maturity date of the bonds? Through the maturity date of the bonds, Municipal Bank will pay the bondholders total cash of Requirement 3. Calculate the difference between your answers to requirements 1 and 2. This difference represents Municipal Bank's total interest expense over the life of the bonds. The difference between your answers to requirements 1 and 2 is Requirement 4. Compute Municipal Bank's annual interest expense using the straight-line amortization method. Multiply this amount by 20. Your 20-year total should be the same as your answer to requirement 3. Municipal Bank's annual interest expense using the straight-line amortization method is Multiply the annual interest expense by 20. The 20-year straight-line interest total is Is your 20-year total the same as your answer to requirement 3? - X i Requirements 1. How much cash did Municipal Bank receive when it issued these bonds? 2. How much cash in total will Municipal Bank pay the bondholders through the maturity date of the bonds? 3. Calculate the difference between your answers to requirements 1 and 2. This difference represents Municipal Bank's total interest expense over the life of the bonds. 4. Compute Municipal Bank's annual interest expense using the straight-line amortization method. Multiply this amount by 20. Your 20-year total should be the same as your answer to requirement 3. Print Done