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On January 1, 2020, Llu Corporation paid $243,944 to acquire bonds of Singh Investment Corp with a par value of $242,000. The annual contract rate
On January 1, 2020, Llu Corporation paid $243,944 to acquire bonds of Singh Investment Corp with a par value of $242,000. The annual contract rate on the bonds is 70% and interest is paid semiannually on June 30 and December 31. The bonds mature after three years. The market rate of interest was 6.7%. Liu Corporation intends to hold the bonds until maturity. Required: 1. Prepare an amortization schedule for the investment showing only 2020. (Do nor round intermediate calculations. Round your answers to the nearest whole dollar amount. Enter all the amounts os positive values.) Period Ending Cash Interest Received Period Interest Income Premium Amort Unamortized Premium Carrying Value Jan 1/20 June 30/20 Doc 31/20 2-0. Prepare Liu's entries to record the purchase of the bonds. (Do not round intermediate calculations. Round your final answers to nearest dollar amount.) 2-o. Prepare Llu's entries to record the purchase of the bonds. (Do not round intermediate calculations. Round you nearest dollar amount.) View transaction list Journal entry worksheet
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