Montana Inc. issued $900,000 of 12-year bonds with a stated rate of 8% when the market rate was 9%. The bonds pay interest semi-annually. Assume that the bonds were issued for $883,386. Prepare an amortization table for the first three payments. Semiannual Interest Period Semiannual Interest Expense Semiannual Interest Payment Amortization of Discount Ending Carrying Value 1         2         3         PLEASE NOTE: All dollar amounts will be rounded to whole dollars using "$" and commas as needed (i.e. $12,345).

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Montana Inc. issued $900,000 of 12-year bonds with a stated rate of 8% when the market rate was 9%. The bonds pay interest semi-annually. Assume that the bonds were issued for $883,386. Prepare an amortization table for the first three payments.

Semiannual Interest Period Semiannual Interest Expense Semiannual Interest Payment Amortization of Discount Ending Carrying Value
1        
2        
3        

PLEASE NOTE: All dollar amounts will be rounded to whole dollars using "$" and commas as needed (i.e. $12,345).

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