Question: Required information P10-1O (Algo) Preparing a Bond Amortization Schedule for a Bond Issued at a Premium L010-5 [The following information applies to the questions dispiayed

 Required information P10-1O (Algo) Preparing a Bond Amortization Schedule for a

Required information P10-1O (Algo) Preparing a Bond Amortization Schedule for a Bond Issued at a Premium L010-5 [The following information applies to the questions dispiayed below] On January1 of this year, Olive Corporation issued bonds. Interest is payable once a year on December 31. The bonds mature at the end oi four years. Olive uses the effectiveinterest amortization method. The partially completed amortization schedule below pertains to the bonds: Date Cash Interest Amortization Balance January 1J Year' 1 $ 39J532 End of Year' 1 $ 1,659 $ 1:52? $ 123 36J499 End of Year 2 ? ? ? 36J279 End of Year 3 ? ? 136 ? End of Year' 4 P 1|.J 567 F 391999 I P1040 Part 2 2. When the bonds mature at the end of Year 4, what amount of principal will Olive pay investors? Principal amount

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