Required information Problem 9-5B Understand a bond amortization schedule (LO9-5) [The following information applies to the questions displayed below.] Temptation Vacations issues $54 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below: (2) (2) Cash Paid for Date Interest (3) Interest Expense (4) Decrease in Carrying Value 1/1/20211 (5) Carrying Value $60,240,988 6/30/2021 12/31/2021 $1,890,000 1,890,000 $1,807,230 1,804,747 $82,770 85,253 60,158,218 60,072,965 Problem 9-5B Part 2 2. What is the original issue price of the bonds? (Enter your answer in dollars, not millions. (i.e., $5.5 million should be entered as 5,500,000)) Issue price Required information Problem 9-5B Understand a bond amortization schedule (LO9-5) [The following information applies to the questions displayed below.] Temptation Vacations issues $54 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below: (4) Date (2) Cash Paid for Interest (3) Interest Expense (4) Decrease in Carrying Value: (5) Carrying 1/1/2021 Value $60,240,988 6/30/2021 12/31/2021 $1,890,000. 1,890,000 $1,807,230 1,804,747 $82,770 85,253 60,158,218 60,072,965 Problem 9-5B Part 3 3. What is the face amount of the bonds? (Enter your answer in dollars, not millions. (i.e., $5.5 million should be entered as 5,500,000)) Face amount Prait 10 11 12 13 of 17 Next > Required information Problem 9-58 Understand a bond amortization schedule (LO9-5) [The following information applies to the questions displayed below.] Temptation Vacations issues $54 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below. (1) (2) (3) Cash Paid for Interest ces Date Interest 1/1/2021 6/30/2021 12/31/2021 $1,890,000 1,690,000 Expense $1,807,230 1,804,747 (4) Decrease in Carrying Value (5) Carrying Value: $60,240,988 502,770 60,158,218 85,253 60,072,965 Problem 9-5B Part 4 4. What is the stated annual interest rate? Stated annual interest rate Required information Problem 9-58 Understand a bond amortization schedule (LO9-5) [The following information applies to the questions displayed below.) Temptation Vacations issues $54 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below: (1) (2) Cash Paid for (3) Interest (4) Decrease in (5) Carrying Date Interest Expense Carrying Value Value 1/1/2021 $60,240,988 6/30/2021 $1,890,000 12/31/2021 1,890,000 $1,007,230 1,804,747 $82,770 85,253 60,150,218 60,072,965 Problem 9-5B Part 5 5. What is the market annual interest rate? (Round your answer to the nearest whole percent.) Market annual interest rate 9 < Prev 12 13 of 17 Next > Required information Problem 9-5B Understand a bond amortization schedule (LO9-5) [The following information applies to the questions displayed below.) Temptation Vacations issues $54 million in bonds on January 1, 2021, that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below: (1) (2) Cash Paid for Date Interest 1/1/2021 6/30/2021 12/31/2021 $1,890,000 1,890,000 (3) Interest Expense $1,807,230 1,804,747 (4) Decrease in Carrying Value (5) Carrying $82,770 85,253 Value $60,240,988 60,158,218 60,072,965 Problem 9-5B Part 6 6. What is the total cash paid for interest assuming the bonds mature in 20 years? (Enter your answer in dollars, not millions. (i.e., $5.5 million should be entered as 5,500,000)) Total cash interest