Question: Coney Island Entertainment issues $1,000,000 of 6% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year.
Required: Calculate the issue price of a bond and complete the first three rows of an amortization schedule when:
1. The market interest rate is 6% and the bonds issue at face amount.
2. The market interest rate is 7% and the bonds issue at a discount.
3. The market interest rate is 5% and the bonds issue at a premium