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Wildhorse Co. issued $6,720,000 of 8% bonds on October 1, 2020, due on October 1, 2025. The interest is to be paid twice a
Wildhorse Co. issued $6,720,000 of 8% bonds on October 1, 2020, due on October 1, 2025. The interest is to be paid twice a year on April 1 and October 1. The bonds were sold to yield 10% effective annual interest. Wildhorse Co. closes its books annually on December 31. (a) Complete the following amortization schedule for the dates indicated. Use the effective-interest method. (Round answers to O decimal places, e.g. 5,275.) Date Cash Interest Expense Bond Discount Carrying Amount of Bonds $6,201,076 October 1, 2020 April 1, 2021 October 1, 2021
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