Don Ono purchased Yoko bonds with a face value of $30,000 in the secondary market on March 1, 2012, at a price of $28,340 plus a brokerage fee of $280 and accrued interest. Interest at 10 percent is payable on January 1 and July 1 each year. The bonds were originally issued on January 1, 2011, and mature on January 1, 2014. Don plans to amortize the discount once a year at December 31 on a straight-line basis.

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The Answer of Don Ono purchased Yoko bonds with a face value of $30,000 in the secondary market on March 1, 2012, at a price of $28,340 plus a brokerage fee of $280 and accrued interest. Interest at 10 percent is payable on January 1 and July 1 each year. The bonds were originally issued on January 1, 2011, and mature on January 1, 2014. Don plans to amortize the discount once a year at December 31 on a straight-line basis.

Don Ono Purchased Yoko Bonds with a Face Value of $30,000