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On January 1, Year 1, Hart Company issued bonds with a face value of $150,000,...

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Accounting

On January 1, Year 1, Hart Company issued bonds with a face value of $150,000, a stated rate of interest of 8 percent, and a five-year
term to maturity. Interest is payable in cash on December 31 of each year. The effective rate of interest was 7 percent at the time the
bonds were issued. The bonds sold for $156,150. Hart used the effective interest rate method to amortize the bond premium.
Required
a. Prepare an amortization table.
b. What is the carrying value that would appear on the Year 4 balance sheet?
c. What is the interest expense that would appear on the Year 4 income statement?
d. What is the amount of cash outflow for interest that would appear in the operating activities section of the Year 4 statement of cash
flows?
Complete this question by entering your answers in the tabs below.
Prepare an amortization table. (Round your intermediate calculations and final answers to the nearest whole number.)
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