Question
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 =
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Period | Beginning Carrying Value | Market Rate |
Interest Expense | Cash Interest Paid |
Discount Amortization | Ending Carrying Value |
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1/1/2020 entry:
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12/31/2020 entry:
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12/31/2021 entry:
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Value on Balance Sheet at 12/31/2021:
Bonds Payable: - Bond Discount: ________________ Bonds Payable, Net:
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