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On June 1, 2019. Pharoah Company sold $3,840,000 in long-term bonds for $3,368,100. The bonds will mature in 10 years and have a -tated interest
On June 1, 2019. Pharoah Company sold $3,840,000 in long-term bonds for $3,368,100. The bonds will mature in 10 years and have a -tated interest rate of 8% and a yield rate of 10%. The bonds pay interest annually on May 31 of each year. The bonds are to be accounted for under the effective-interest method Construct a bond amortization table for this problem to indicate the amount of interest expense and discount amortization at each May 31. (Please round interest expense and bond discount columns to zero decimal places.) Debit Interest Expense Credit Bond Discount Carrying Amount of Bonds Date Credit Cash 6/1/19 2368100 731/20$ 307200 $ 336810 $ /31/21 307200 731/22 307200 /31/23 307200
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