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ok n June 1 , 2 0 2 2 , LASTT Company sold 4 0 0 , 0 0 0 in long - term bonds

ok n June 1,2022, LASTT Company sold 400,000 in long-term bonds for 351,040. The bonds
ill mature in 10 years and have a stated interest rate of 8% and a yield rate of 10%. The bonds
ay interest annually on May 31 of each year. The bonds are to be accounted for under the
ffective-interest method.
instructions
(a) Construct a bond amortization table for this problem to indicate the amount of interest expense
and discount amortization at each May 31. Include only the first four years. Make sure all
columns and rows are properly labeled. (Round to the nearest dollar.)
(b) Assuming that interest and discount amortization are recorded each May 31, prepare the
adjusting entry to be made on December 31,2024.(Round to the nearest dollar.)
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