Tano Company issues bonds with a par value of $180,000 on January 1, 2021. The bonds' annual Par value contract rate is 8%, and interest is paid semiannually on June 30 and December 31. The bonds Contract Term Market rate rate Proceeds Payments per year 5 4 mature in three years. The annual market rate at the date of issuance is 10%, and the bonds are sold for $170,864 $180,000 8% 10% $170,864 2 6 7 Required: 8 1. What is the amount of the discount on these bonds at issuance? 9 10 (Use cells A2 to MS from the given information to complete this question.) 11 12 Discount 13 59.136 14 2. How much total bond interest expense will be recognized over the life of these bonds? 15 16 (Use cells A2 to MS from the given information to complete this question. Negative amounts or 17 amounts to be deducted should be input and displayed as negative values.) 18 19 Total Bond interest Expense Over Life of Bonds 20 Amount repaid payments of Par value at maturity 21 22 23 Total repaid 24 Less amount borrowed $7.200 $43,200 180,000 223,200 (170,864)