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P10-15 (Algo) Computing Amounts for a Bond Issued at a Discount and Comparing Effective-Interest Amortization to Straight-Line Amortization LO10-4 [The following information applies to the

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P10-15 (Algo) Computing Amounts for a Bond Issued at a Discount and Comparing Effective-Interest Amortization to Straight-Line Amortization LO10-4 [The following information applies to the questions displayed below.] TeslaShock Corporation manufactures electrical test equipment. The company's board of directors authorized a bond issue on January 1 of this year with the following terms: (FV of $1, PV of $1, FVA of $1, and PVA of $1 ) (Use the appropriate factor(s) from the tables provided.) Face (par) value: $802,500 Coupon rate: 8 percent payable each December 31 Maturity date: December 31, end of Year 5 Annual market interest rate at issuance: 12 percent P10-15 Part 2 2. Assume that the company used the straight-line amortization method. Compute the following for Year 1 through Year 5: (Round your final answers to nearest whole dollar amount.)

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