Question 1: (7.5 points): B3, C3, D3

At the beginning of 2020 Mandi Cor. issued 10,000 bondsfor 50 years of $100 par bond. The stated rate was 10% and the market rate was 2%.

Instruction:

1- Calculate the carrying value for the bonds at the issuance date using Excel (2.5 Points).

2- Prepare the amortization schedule using Excel (5 Points).

Question 2: (7.5 points): B3, C3, D3

On 1/1/2015 Meera corporation invested in held to maturity securities the face value was $300,000 the maturity date is 1/1/2030. The security market rate was 10% and the stated rate was 5%.

Instruction:

1- Calculate the discount /premium if any on the security using Excel (2.5 Points).

2- Prepare the amortization schedule using Excel (5 Points).

note: the answer should be in excel