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Zero Coupon Bonds On 1/1/2020, REYLO issued bonds with a total par value of $100,000, a 5-year term, a stated rate of 0% (zero coupon

Zero Coupon Bonds

On 1/1/2020, REYLO issued bonds with a total par value of $100,000, a 5-year term, a stated rate of 0% (zero coupon bonds) and a market rate of 8%.

Beginning Carrying Value =

Total Discount =

Period

Beginning Carrying Value

Market Rate

Interest Expense

Cash

Interest Paid

Discount Amortization

Ending Carrying Value

1/1/2020 entry:

12/31/2020 entry:

12/31/2021 entry:

Value on Balance Sheet at 12/31/2021:

Bonds Payable: - Bond Discount: ________________ Bonds Payable, Net:

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