Bond computations: Straight-line amortization
Southlake Corporation issued $900,000 of 8% bonds on March 1, 20X1. The bonds
pay interest on March 1 and September 1 and mature in 10 years. Assume the independent
cases that follow:
• Case A—The bonds are issued at 100.
• Case B—The bonds are issued at 96.
• Case C—The bonds are issued at 105.
Southlake uses the straight-line method of amortization.
Instructions
Complete the following table
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