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On January 1, Year 1, Hart Company issued bonds with a face value of $103,000, a stated rate of interest of 10 percent, and a five-year term to maturity. Interest is payable in cash on December 31 of each year. The effective rate of interest was 9 percent at the time the bonds were issued. The bonds sold for $107,006. Hart used the effective interest rate method to amortize the bond premium. (Round your intermediate calculations and final answers to the nearest whole number.) Required a. Prepare an amortization table. Carrying Value Cash Interest Premium Amortization Date Payment Expense 107,006 January 1, Year 1 December 31, Year 1 10.300 9,631 669 106.337 730 9,570 December 31, Year 2 105,607 10.300 9,505 795 104,812 December 31, Year 3 10,300 103.945 9,433 867 10,300 December 31, Year 4 945 103,000 10,300 9,355 December 31, Year 5 47,494 4,006 51,500 Totals b. What is the carrying value that would appear on the Year 4 balance sheet? c. What is the interest expense that would appear on the Year 4 income statement? d. What is the amount of cash outflow for interest that would appear in the operating activities section of the Year 4 statement of cash flows? 103.945 b. Carrying value on the Year 4 9,433 S Interest expense for Year 4 10.300 d. Cash outflow for interest in Year 4 Next 3 of 3 Prev Required Compute the cash proceeds from bond issues under the following terms. For each case, indicate whether the bonds sold at a premium or discount. (Round your answers to nearest dollar amount.) Cash Proceeds Discount or Premium Pear, Inc. issued $235,000 of 10-year, 8 percent bonds at 103. 242,050 Premium a. Apple, Inc. issued $121,000 of five-year, 12 percent bonds at 98. 118,580 Discount b. $ 156,940 Premium Cherry Co. issued $152,000 of five-year, 6 percent bonds at 103 1/4. c. 31,360 Discount Grape, Inc. issued $32,000 of four-year, 8 percent bonds at 98. d