M22 In Clas Wortsheet Bonds Payable Worksheet 1 How do you calculate... Interest Payment Period: Interest Payment Cash Received Discount: Discount Amortization Premium: Premium Amortization: Interest expense on a par value bond Interest Exprese on a discounted bond Interest Expesne on a premium bond M12 In Class Worksheet Bond 64 has a par value of $100. The term is 3 years, the contract interest rate is 4% and the issue price is 94. 1) Is this bond issued at par value, at a discount, or at a premium? 2) Is the market interest rate 4%, more than 4% or less than 4%? 3) Calculate the cash received at Issuance: 4) Calculate the Premium or Discount, if applicable: 5) Calculate the semi-annual Amortization if applicable: 6) Calculate the semi-annual Interest Payment 7) Calculate the semi-annual Interest Expense Journal Entry at Issuance: Journal for Semi-Annual Interest Payment Journal at Bond Retirement