| Xerox Company Issues | $ 2,000,000 | 9% | 2 | yr bonds at | 97 |
| Interest is payable on July 1st and January 1st, 2014.Straight-line method is used for amorization. | ? |
| Optional Work Area | ? | Face, Price, Carry Value > | 2,000,000 | 97 | 1,940,000 | ? |
| ? | Bond Rate> | 9% | Discount/Premium> | 60,000 | ? |
| ? | #Periods > | 4 | ? | | ? |
JE #5: Redeem Bonds @ 101 on Jan 1st year #2 assuming BondInterest payment has been made. This is a test of your totalunderstanding of using the bond amortization table and basicaccounting principles. 'Critical thinking' is required. Explanationshould contain all data needed for someone else who has theamortization table to verify the JE.
