ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 33

Present value of annuity for 10 periods at 12%
5.650

Present value of annuity for 20 periods at 5%
12.462

Present value of annuity for 20 periods at 6%
11.470

2) Without prejudice to your solution in part (a), assume that
the issue price was $2,652,000. Prepare the amortization table
for 2015, assuming that amortization is recorded on interest
payment dates using the effective-interest method.

3)

The following information pertains to Parsons Co.:

Preferred stock, cumulative:

Par value per share

$100