What amount will be shown in the statement of profit or loss

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A company issues 6% debenture with a nominal value of $33,000,000, which be repayable after three years at a 15% premium. The debenture were issued at a 3.8% discount, with issue costs of $1,016,000incurred. The effective rate of interest is 13.32%.

Problem 1: Prepare journal entries to show the necessary workings.

Problem 2: Show the full amortization of the three -year period.

Problem 3: What amount will be shown in the statement of profit or loss and statement of financial position for one year

Reference no: EM132930404

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