Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. bond contract rate = 7% semi-annualbondpar    

Bond contract rate = 7% semi-annualBondpar                 =$10,000Bond market rate   = 6% semi-annualBondlife      &nbBond contract rate = 7%...

60.1K

Verified Solution

Question

Accounting

Bond contract rate = 7% semi-annual

Bondpar                 =$10,000

Bond market rate   = 6% semi-annual

Bondlife                   =10 years

  1. Calculate the discount/premium amortization per period (use thestraight-line method)

Answer & Explanation Solved by verified expert
3.6 Ratings (627 Votes)
Discountpremium amortization per period 3720 or 37 Discountpremium amortization per year will be 744 or 74 Working We first need to calculate price of bond and then amortization per period Bonds issue price is calculated    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

In: AccountingBond contract rate = 7% semi-annualBondpar                 =$10,000Bond market rate   = 6% semi-annualBondlife      &nbBond contract rate = 7% semi-annualBondpar                 =$10,000Bond market rate   = 6% semi-annualBondlife                   =10 yearsCalculate the discount/premium amortization per period (use thestraight-line method)

Other questions asked by students

Q

An acetic acid/ sodium acetate buffer solution is also 0.020 M AlCl3. At what minimum pH...

Chemistry
Q

State the Born-Oppenheimer approximation and describe how its use simplifies the description of Hamiltonian operator for...

Chemistry
Q

Alex is riding in a car that has LEDs at each end. The car passes Jordan,...

Physics
Q

11b A solenoid that is 95 0 cm long has a radius of 2 00...

Physics
Q

Express in terms of sums and differences of logarithms 20 16 n log a log...

Algebra
Q

Write in standard notation 1 59 10

Algebra
Q

image
image
image

Accounting
Q

Question 13 What 2 aging options are available for aging reports? Current and Report Date...

Accounting
Q

Evaluate the validity of the following statement, giving examples to support your evaluation, Tests of...

Accounting
Q

1) Given the following operating ratios, explain their possible use in a managerial situation for...

Finance
Q

Your company takes out a $17,000 equal payment loan over 4 years. The APR is...

Finance
Q

The mission statement of a business corporation should be revised frequently True False 10 points...

Finance