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Perron Manufacturing issued $9,000,000 face value of 4% bonds on July 1st, 2022. Additional information on the bond issue is as follows: Bond Date
Perron Manufacturing issued $9,000,000 face value of 4% bonds on July 1st, 2022. Additional information on the bond issue is as follows: Bond Date Maturity Date Yield rate Interest payment dates Bond discount/premium amortization Year end July 1st, 2022 July 1st, 2032 4.5% June 30th and December 31st Effective Interest Rate Method December 31st (For all requirements, do not round intermediate calculations. Round the final answers to the nearest whole dollar.) Required: 1. Were the bond issued at a par, premium, or discount? (1 mark) Issued at par Issued at premium Issued at discount 2. Determine the bond cash proceeds? Calculate the amount of premium/discount, if any. (If a premium, enter an absolute amount; if a discount, enter "-") (4 marks) Cash Proceeds Amount of Premium/Discount (if a discount, enter *-*)
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