Question 15 0.5 pts On January 1, $5,000,000, 10-year, 10% bonds were issued at $5,200,000. Interest is paid annually each January 1. The straight-line method of amortization is used to amortize the premium. How much premium is amortized at the end of the first year? $20,000 $1,667 $10,000 $7,500 $5,000 Question 16 0.5 pts On January 1, Forever Ceramics issued $1,000,000,9% bonds for $951,000. This price resulted in an effective interest rate of 10% on the bonds. Interest is payable annually on January 1. The company uses the effective interest method of amortizing bond discount. At the end of the first year, how much should Forever Ceramics report as unamortized bond discount? O $49.000 $45.900 $44,400 O $43.900 $40,000 Question 17 0.5 pts On January 1, Whole Wheat Company issued $5,750,000 of 4%, 5-year bonds for $5,265,578 Interest is payable annually on January 1. The effective interest rate on the bonds is 6%. Use the effective interest method to determine the amount of interest expense for the first year. $230,000 $275,940 $315,935 $210,623 $345.000