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Smith Corporation purchased bonds from Day Corporation on the following terms: Bond Date January 1, 20x0 Face Value $ 30,000,000.00 Maturity 10 years Stated Rate
| Smith Corporation purchased bonds from Day Corporation on the following terms: | ||||
| Bond Date | January 1, 20x0 | |||
| Face Value | $ 30,000,000.00 | |||
| Maturity | 10 | years | ||
| Stated Rate | 7% | |||
| Interest Payment | $ 1,050,000.00 | |||
| Number of interest payments | 20 | |||
| Purchased at a discount with a yield of: | 8% | |||
| Yield on a six month basis: | 4.0% | |||
| Discount | ||||
| Bond Discount Amortization | ||||
| Period | Cash Paid | Interest Revenue | Discount Amortized | Carrying Amount of Bonds |
| January 1, 20x0 | ||||
| July 1, 20x0 | ||||
| December 31, 20x0 | ||||
| July 1, 20x1 | ||||
| End of the Fiscal Year | ||||
| Dec 31, 20x2 | ||||
| Interest Payment | ||||
| Held to Maturity | ||||
| Interest Receivable | ||||
| Debt Investments | ||||
| Interest Revenue | ||||
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