ch13 accounting and reporting of long-term liabilities(2)

$

5,346

Chapter 13-18

LO 4 Apply the methods of bond discount and premium amortization.

英文版珍藏课件

Bonds Issued at a PremiumIllustration Three year bonds are issued at face value of $100,000 on Jan. 1, 2007, a stated interest rate of 8%, and market rate of 6%.8% Cash Paid $ 8,000 8,000 8,000 6% Interest Premium Expense Amortized $ 6,321 6,220 6,113 $ 1,679 1,780 1,887 Carrying Amount $ 105,346 103,667 101,887 100,000

Date 1/1/07 12/31/07 12/31/08 12/31/09

Chapter 13-19

LO 4 Apply the methods of bond discount and premium amortization.