Silk Company issued $500,000 of 7%, 10-year bonds on its interest date for $431,850 to yield an effective annual rate of 9%.The effective-interest method of amortization is to be used.Interest is paid annually.What amount of discount (to the nearest dollar) should be amortized for the first interest period?

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The Answer of Silk Company issued $500,000 of 7%, 10-year bonds on its interest date for $431,850 to yield an effective annual rate of 9%.The effective-interest method of amortization is to be used.Interest is paid annually.What amount of discount (to the nearest dollar) should be amortized for the first interest period?

Silk Company Issued $500,000 of 7%, 10-Year Bonds on Its