Quatro Company issues bonds dated January 1, 2021, with a par value of $790,000. The bonds' annual contract rate is 9%, 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 8%, and the bonds are sold for $810,694. 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare an effective interest amortization table for these bonds. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the amount of the premium on these bonds at issuance? Premium Quatro Company issues bonds dated January 1, 2021, with a par value of $790,000. The bonds' annual contract rate is 9%, 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 8%, and the bonds are sold for $810,694. 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare an effective interest amortization table for these bonds Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 How much total bond interest expense will be recognised over the life of these bonds? Total Bond Interest Expense Over the Life of the Bonds: Amount repaid payments of $ 780,000 S 4,740,000 Par value at maturity Totalrepaid 4,740,000 Less amount borrowed Total bond interest expense $ 4.740.000 Quatro Company issues bonds dated January 1, 2021, with a par value of $790,000. The bonds' annual contract rate is 9%, 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 8%, and the bonds are sold for $810,694 1. What is the amount of the premium on these bonds at issuance? 2. How much total bond interest expense will be recognized over the life of these bonds? 3. Prepare an effective interest amortization table for these bonds. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare an effective interest amortization table for these bonds. (Round all amounts to the nearest whole dollar) Semiannual Cash Bond Interest Interest Interest Premium Unamortized Carrying Period-End Pald Amortization Premium Value Expense 01/01/2021 20,694 $ 790,000 06/30/2021 $ 35,550 32,101 $ $ 3.449 17.245 790,000 3 12/31/2021 35,550 32,1013 3,4493 13,796 790,000 06/30/2022 35,550 32,101 3.449 10.3473 786,551 12/31/2022 35,550 32,1013 3,449 6,8983 783,102 06/30/2023 35,550 32,101 3.449 3,4493 779,653 12/31/2023 35.550 45,897 (10.347) 790.000 Total $ 213,300 $ 192,606 20.694
