# Exercise Completing a Bond Amortization Table (Effective Interest Rate Method MacBride Enterprises sold S200,000 of bonds on January 1, 2020. A portion of the amortization table appears below. Period Cash Payment (Credit) Interest Expense (Debit) Premium on Bonds Payable (Debit) Premium on Bonds Payable Balance Carrying Value At issue S6-457 52(16,457 06/30/20 $9,000$8,465 $535 5,922 205,922 12/31/20 9,000 8,443 557 5,365 205,365 06/30/21 9,000 8,420 580 4,785 204,785 12/31/21 ? ? ? ? ? Required: Indicate the stated annual interest rate on these bonds. Calculate the effective annual interest rate on these bonds. (Note: Round to the nearest 0.1%.) Determine the interest expense and premium amortization for the interest period ending December 31, 2021. (Note: Round to the nearest dollar.) 4.Determine when the bonds will mature. Use the following information for Exercises 9-83 and 9-84: Dandy Candy bought a delivery vehicle for S45,000 by issuing an 8% installment note on January 1, 2021. Dandy will make 12 monthly payments of$3,914.50 at the end of each month.

### Cornerstones of Financial Accounti...

4th Edition
Jay Rich + 1 other
Publisher: Cengage Learning
ISBN: 9781337690881

### Cornerstones of Financial Accounti...

4th Edition
Jay Rich + 1 other
Publisher: Cengage Learning
ISBN: 9781337690881

#### Solutions

Chapter 9, Problem 82E
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