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Required information (The following information applies to the questions displayed below.) On January 1 of this year, Olive Corporation issued bonds. Interest is payable once

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Required information (The following information applies to the questions displayed below.) On January 1 of this year, Olive Corporation issued bonds. Interest is payable once a year on December 31. The bonds mature at the end of four years. Olive uses the effective-Interest amortization method. The partially completed amortization schedule below pertains to the bonds Cash Interest Amortization Date January 1, Year 1 End of Year 1 End of Year 2 End of Year 3 End of Year 4 $ 2,562 2 7 2 $ 2,393 2 2 2,363 $ 169 2 188 7 Balance $ 42, 734 42,565 42,387 2 42,000 2. When the bonds mature at the end of Year 4. what amount of principal will Olive pay investors? Principal amount

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