On January 1, 2012, Thompson Company issues $4 million of 5-year, 8% bonds with interest payable on.On January 1, 2012, Thompson Company issues $4 million of 5-year, 8% bonds with interest payable on.

On January 1, 2012, Thompson Company issues $4 million of 5-year, 8% bonds with interest payable on June 30 and December 31. Thompson amortizes any discount or premium using the straight-line method. Required Prepare a bond amortization schedule assuming the bonds were issued at (a) 101 (b) 97.