Prepare the original table of amortization

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Reference no: EM132696188

Question - On December 31, 2019, Famous Company sold a 12% serial bond issue wih face amount of 5,600,000 for 5,936,000. The bonds mature in the amount of 800,000 on December 31 of each year beginning December 31, 2020 and interest is payable annually. On December 31, 2021, the entity retired 800,000 of bonds due on that date and in addition purchased at 105 and retired bonds with face amount of 800,000 which were due on December 31, 2023. 35

Required -

a. Prepare the original table of amortization.

b. Prepare the revised table of amortization.

c. Prepare the entries until the end of year 4.

Reference no: EM132696188

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