On March 1, 2019, Ford Co. issued $1,000,000, 12% bonds at a price to yield 10%....

On March 1, 2019, Ford Co. issued $1,000,000, 12% bonds at a price to yield 10%. The bonds pay interest semi-annually on September 1 and March 1. Bond issue costs of $30,000 were incurred and expensed by Ford Co. The bonds mature on March 1, 2025. The company has a September 30 year-end date.

Show the income statement and balance sheet presentation for the related bond accounts at September 30, 2019 for Ford Co.

Issue price of the bonds
n = 12 6 years x 2 i/y= 5 PMT = - 1,000,000 x 12% x 6/12 60,000 - FV = 1,000,000 - PV= $1,088,633

May I have the full step by step calculation for the Amortization schedule?

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ekkarill92 answered 4 months ago

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