FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Temptation Vacations issues $58 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below:
(1) |
(2) |
(3) |
(4) |
(5) |
|
Cash Paid for Interest |
Interest Expense |
Decrease in Carrying Value |
Carrying Value |
Date |
|
|
|
|
1/1/2021 |
|
|
|
$65,279,805 |
6/30/2021 |
$1,740,000 |
1,631,995 |
$108,005 |
$65,279,805 |
12/31/2021 |
1,740,000 |
1,629,295 |
$110,705 |
65,171,800 |
6. What is the total cash paid for interest assuming the bonds mature in 20 years? (Enter your answer in dollars, not millions. (i.e., $5.5 million should be entered as 5,500,000))
|
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