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Prairie Dunes Co. issues bonds dated January 1, 2011, with a par value of $800.000. The bonds' annual contract rate is 13%. and interest is
Prairie Dunes Co. issues bonds dated January 1, 2011, with a par value of $800.000. The bonds' annual contract rate is 13%. and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 12%. and the bonds are sold for $819.700. What is the amount of the premium on these bonds at issuance? (Omit the response.) How much total bond interest expense will be recognized over the life of these bonds? (Round your answer to the nearest dollar amount. Omit the "$" sign in your response.) Prepare an amortization table for these bonds: use the straight-line method to amortize the premium. (Make sure that the unamortized premium equals "0" and the Carrying value equals the face value of the bonds in the last period. Round your intermediate calculations and final answers to the nearest dollar amount. Omit the "$" sign in your response.)
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