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Preparing an Amortization Schedule-Effective Interest Method On January 1 of Year 1, Williams Inc. issued 4-year, $100,000, 5% bonds, priced to yield 6%, with
Preparing an Amortization Schedule-Effective Interest Method On January 1 of Year 1, Williams Inc. issued 4-year, $100,000, 5% bonds, priced to yield 6%, with cash interest payable semiannually on June 30 and December 31. The company amortizes the bond discount using the effective interest method. Required Provide an amortization schedule of interest and discount amortization for the 4-year bond term. Note: Round amounts to two decimal places and use the rounded numbers for future calculations. Note: Include any net rounding difference for Bond Payable, Net in the discount amortization amount for Dec. 31, Year 4. Note: Do not use negative signs. Effective Interest Method-Discount Date Cash Interest Expense Discount Amortization Bonds Payable, Net Jan. 1, Year 1 $ June 30, Year 1 $ 0 $ 0 $ 0 $ Dec. 31, Year 1 $ 0 $ 0 $ 0 $ June 30, Year 2 $ 0 $ 0 $ 0 $ Dec. 31, Year 2 $ 0 $ 0 $ 0 $ 000 00 June 30, Year 3 S 0 $ 0 $ 0 $ Dec. 31, Year 3 S 0 $ 0 $ 0 $ June 30, Year 4 $ 0 $ 0 $ 0 $ Dec. 31, Year 4 $ 0 $ 0 $ 0 $ 0000 Total $ 0 $ 0 $ 0
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