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Quatro Company issues bonds dated January 1,2021 , with a par value of $890,000. The bonds' annual contract rate is 12%, and interest is paid
Quatro Company issues bonds dated January 1,2021 , with a par value of $890,000. The bonds' annual contract rate is 12%, and interest is paid semiannually on June 30 and December 31 . The bonds mature in three years. The annual market rate at the date issuance is 10%, and the bonds are sold for $935,160. 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 a straight-line amortization table for these bonds. Complete this question by entering your answers in the tabs below. What is the amount of the premium on these bonds at issuance
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