Answer to Question #69528 in Accounting for krisjian sabala
On September 30, 2014, when the market interest rate is 4 percent, Champs Ltd. issues $9,750,000 of 6-percent, 20-year bonds for $12,417,159. The bonds pay interest on March 31 and September 30. Champs Ltd. amortizes bond premium by the effective-interest method.
prepare an amortization table for four semiannual interest periods.