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The notes to the Wolfe Ltd. financial statements reported the following data on December 31, Year 1 (end of the fiscal year): (Click the
The notes to the Wolfe Ltd. financial statements reported the following data on December 31, Year 1 (end of the fiscal year): (Click the icon to view the financial statement data.) Wolfe amortizes bond discounts using the effective-interest method and pays all interest amounts at December 31. Read the requirements Requirement 1. Assume the market interest rate is 6% on January 1 of year 1, the date the bonds are issued. (Round your answers to the nearest whole dollar.) a. Using the PV function in Excel, what is the issue price of the bonds? The issue price of the bonds is b. What is the maturity value of the bonds? The maturity value of the bonds is c. What is Wolfe's annual cash interest payment on the bonds? The annual cash interest payment is d. What is the carrying amount of the bonds at December 31, year 17 The carrying amount of the bonds at December 31, Year 1 is Requirement 2. Prepare an amortization table through December 31, Year 4 for the bonds. (Round all amounts to the nearest dollar.) How much is Wolfe's interest expense on the bonds for the s Join us Decomber 31-Year 4 for the hoods (Round your answer to the nearest whole dollar).
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