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Pharoah Corporation issued $300,000 of 5-year bonds on April 1, 2020. Interest is paid semi-annually on April 1 and October 1. Below is a
Pharoah Corporation issued $300,000 of 5-year bonds on April 1, 2020. Interest is paid semi-annually on April 1 and October 1. Below is a partial amortization schedule for the first few years of the bond issue. Semi-Annual Interest Period Interest Interest Payment Expense Amortization Bond Amortized Cost Apr.1, 2020 $313,833 Oct. 1, 2020 $6,000 $4,707 $1,293 312,540 Apr. 1, 2021 6,000 4,688 1,312 311,228 Oct. 1, 2021 6,000 4,668 1,332 309,896 Apr. 1, 2022 6,000 4,648 1,352 308,544 Oct. 1, 2022 6,000 4,628 1,372 307,172 Apr. 1, 2023 6,000 4,608 1,392 305,780 Were the bonds issued at a discount or at a premium? The bonds were issued at a eTextbook and Media List of Accounts Question Part Score What is the bonds face value? Face value S eTextbook and Media List of Accounts Question Part Score What will the bonds amortized cost be at the maturity date? Bond amortized cost $ --/1 --/1
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