Question: Spencer plc sells 10% bonds having a maturity value of 3,000,000 for 2,783,724. The bonds are dated January 1, 2019, and mature January 1, 2024.

Spencer plc sells 10% bonds having a maturity value of £3,000,000 for £2,783,724. The bonds are dated January 1, 2019, and mature January 1, 2024. Interest is payable annually on January 1.
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Set up a schedule of interest expense and discount amortization.

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