The following data relate to a $5,000,000, 6% bond issue for a selected semiannual interest period: (a)

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The following data relate to a $5,000,000, 6% bond issue for a selected semiannual interest period:

Bond carrying amount at beginning of period Interest paid at end of period Interest expense allocable to the

(a) Were the bonds issued at a discount or at a premium?
(b) What expense account was decreased to amortize the discount or premium?

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