Exercise 14-6

Tamarisk Company

Eiiilli Your answer is partially correct. Try again. Tamarisk Company sells 9% bonds having a maturity value of $1,750,000 for $1,560,756. The bonds are dated January 1, 2017, and mature January 1, 2022. Interest is payable annually on January 1. Set up a schedule of interest expense and discount amortization under the straight-line method. {Round answers to 0 decimal places, e.g. 38,548.) Schedule of Discount Amortization Slrdig ill- Line Method Cash Interest Discount Carrying Year Paid Expense Amortized Amount of Bonds Jan. 1, 2017 Jan. 1, 2018 Jan. 1, 2019 Jan. 1, 2020 Jan. 1, 2021 Jan.1,2022