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Santa Corporation issued a bond on January 1 of this year with a face value...

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Accounting

Santa Corporation issued a bond on January 1 of this year with a face value of $1,000. The bond's coupon rate is 7 percent and interest
is paid once a year on December 31. The bond matures in three years. The annual market rate of interest was 9 percent at the time the
bond was sold. The following amortization schedule pertains to the bond issued:
What was the bond's issue price?
Did the bond sell at a discount or a premium? How much was the premium or discount?
What amount(s) should be shown on the balance sheet for bonds payable at the end of Year 1 and Year 2?
Show how the following amounts were computed for Year 2: (a) $70,(b) $87,(c) $17, and (c) $981.
Complete this question by entering your answers in the tabs below.
What was the bond's issue price?
Did the bond sell at a discount or a premium? How much was the premium or discount?
What amount(s) should be shown on the balance sheet for bonds payable at the end of Year 1 and Year 2?
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