The following data relate to a $200,000,000, 5% bond issued for a selected semiannual interest period:
|
Bond carrying amount at beginning of period |
$216,221,792 |
|
Interest paid during period |
5,000,000 |
|
Interest expense allocable to the period |
4,864,990 |
(a) Were the bonds issued at a discount or at a premium? (b) What is the unamortized amount of the discount or premium account at the beginning of the period? (c) What account was debited to amortize the discount or premium?