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Required information [The following information applies to the questions display low.] At the beginning of his current tax year, David invests $12,680 in original issue
Required information [The following information applies to the questions display low.] At the beginning of his current tax year, David invests $12,680 in original issue U.S. Treasury bonds with a $10,000 face value that mature in exactly 20 years. David receives $660 in interest ($330 every six months) from the Treasury bonds during the current year, and the yield to maturity on the bonds is 4.6 percent. Note: Round your intermediate calculations to the nearest whole dollar amount. a. How much interest income will he report this year if he elects to amortize the bond premium? Adjusted Basis Premium Reported Received Amortization Interest Semiannual Period of Bond at Beginning of Semiannual Interest 1 2 Yearly Total Period $ 0 $ 0 $ 0
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