On January 1, 2017, Hooper Corporation issued 3-year bonds with a $40,000 face amount and a 6% annual coupon rate paid annually on December 31. The bonds were issued at $36,021 when the market rate of interest was 10%. Complete the amortization table for the bonds using the effective interest method. Round all amounts to the nearest dollar.
$$\begin{array} { | c | l | l | l | l | }
\hline \text { Date } & \text { Cash } & \text { Interest Expense } & \text { Amortization } & \text { Carrying Value } \
\hline 1 / 1 / 17 & & & & \
\hline 12 / 31 / 17 & & & & \
\hline 12 / 31 / 1 \mathrm { a } & & & & \
\hline 12 / 31 / 19 & & & & \
\hline
\end{array}$$

Question

On January 1, 2017, Hooper Corporation issued 3-year bonds with a $40,000 face amount and a 6% annual coupon rate paid annually on December 31. The bonds were issued at $36,021 when the market rate of interest was 10%. Complete the amortization table for the bonds using the effective interest method. Round all amounts to the nearest dollar.
 $$\begin{array} { | c | l | l | l | l | } 
\hline \text { Date } & \text { Cash } & \text { Interest Expense } & \text { Amortization } & \text { Carrying Value } \
\hline 1 / 1 / 17 & & & & \
\hline 12 / 31 / 17 & & & & \
\hline 12 / 31 / 1 \mathrm { a } & & & & \
\hline 12 / 31 / 19 & & & & \
\hline
\end{array}$$

Quizplus · Accepted Answer

The Answer of On January 1, 2017, Hooper Corporation issued 3-year bonds with a $40,000 face amount and a 6% annual coupon rate paid annually on December 31. The bonds were issued at $36,021 when the market rate of interest was 10%. Complete the amortization table for the bonds using the effective interest method. Round all amounts to the nearest dollar.
 $$\begin{array} { | c | l | l | l | l | } 
\hline \text { Date } & \text { Cash } & \text { Interest Expense } & \text { Amortization } & \text { Carrying Value } \
\hline 1 / 1 / 17 & & & & \
\hline 12 / 31 / 17 & & & & \
\hline 12 / 31 / 1 \mathrm { a } & & & & \
\hline 12 / 31 / 19 & & & & \
\hline
\end{array}$$

On January 1, 2017, Hooper Corporation Issued 3-Year Bonds with a $40,000