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Villarente Company issued 5-year $200,000 face value bonds at 95 on January

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Villarente Company issued 5-year $200,000 face value bonds at 95 on January 1, 2012. The stated interest rate on these bonds is 9%, and the effective interest rate is 10.33%. Use the effective interest rate method to complete the amortization schedule below.




 
Cash
Payment
Interest Expense
Discount Amortization
Carrying
Value
January 1, 2012




December 31, 2012




December 31, 2013




December 31, 2014




December 31, 2015




December 31, 2016




Totals




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