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please help Enviro Company issues 8%, 10-year bonds with a par value of $170,000 and semiannual interest payments on the issue date, the annual market
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Enviro Company issues 8%, 10-year bonds with a par value of $170,000 and semiannual interest payments on the issue date, the annual market rate for these bonds is 10%, which implies a selling price of 87 12. The straight-line method is used to allocate interest expense, 1. What are the issuer's cash proceeds from issuance of these bonds? 2. What total amount of bond interest expense will be recognized over the life of these bonds? 3. What is the amount of bond interest expense recorded on the first interest payment date? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What total amount of bond interest expense will be recognized over the life of these bonds? (Round final answers to the nearest whole dollar amount.) w Total Bond Interest Expense Over Life of Bonds: Amount repaid payments of Par value at maturity Total repayments Less amount borrowed (from part 1) Total bond interest expense 170.000 170,000 148,750 21.250 $ 9 of 13 !!! Next > Enviro Company issues 8%. 10-year bonds with a par value of $170,000 and semiannual interest payments on the issue date, the annual market rate for these bonds is 10%, which implies a selling price of 87 12. The straight line method is used to allocate interest expense 1. What are the issuer's cash proceeds from issuance of these bonds? 2. What total amount of bond interest expense will be recognized over the life of these bonds? 3. What is the amount of bond interest expense recorded on the first interest payment date? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the amount of bond Interest expense recorded on the first interest payment date? (Round final answer to the nearest whole dollar amount.) Bond infotostexpensa Required 2 RO Step by Step Solution
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