On January 2, current year, Kalahari Limited issued $1,000,000, 10-year bonds for $1,150,000. The bonds pay interest on June 30 and December 31. The stated rate is 10% and the market rate is 8%. The company plans to use the effective interest method of amortizing bond discounts and premiums. At the maturity date, besides an interest payment, the company would repay the bondholders

Question 45 options:

	$850,000.
	$1,150,000.
	$1,000,000.
	$1,050,000.

On January 1, current year, Kaleidoscope Paint issued $500,000, 10-year, 9% bonds for $480,745. The bonds pay interest on June 30 and December 31. The market rate is 10%. The company plans to use the effective interest method of amortizing bond discounts and premiums. The cash payment on June 30, current year, is

Question 50 options:

	$25,000.
	$22,500.
	$45,000.
	$50,000.