A $200,000 4 year bond was issued for $210,000. The semi-annual amortization of the bond premium using the straight-line method
1 answer:
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Answer:
"$10,000" is the appropriate solution.
Explanation:
According to the question, the values are:
Future cash flows,
= $2,10,000
Amortization Cost,
= $2,20,000
Now,
The loss amount will be:
=
On substituting the given values, we get
=
=