On January 1, a company issues a $100,000, three-year note that pays 9% interest annually....
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Accounting
On January 1, a company issues a $100,000, three-year note that pays 9% interest annually. The market rate on the note is 6%. How much of the note premium should the company amortize in the first year?
I know the asnwer is $2,518.85, but I am unsure how they got it.
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