Question 3: Cozumel Corporation has 10,000,000 of 20-year , bonds dated June 1, 2014, with interest payment dates of May 31 and November 30. After 10 years, the bonds are callable at 104, and each $1,000 bond is convertible into 25 shares of $20 common stock. The company's fiscal year ends on December 31. It uses the straight-line method to amortize bond premiums or discounts. 1. Assume the bonds are issued at 103 on June 1, 2014. Determine: a. How much cash is received? b. How much is Bonds Payable? c. What is the difference between a and b called, and how much is it? = With regard to the bond interest payment on November 30, 2014: i. How much cash is paid in interest? ii. How much is the amortization? iii. How much is interest expense Assume the bonds are issued at 97 on June 1, 2014. Determine: a. How much cash is received? b. How much is Bonds Payable? c. What is the difference between a and b called, and how much is it? With regard to the bond interest payment on November 30, 2014: i. ii. iii. How much cash is paid in interest? How much is the amortization? How much is interest expense