DATE EFFECTIVE INTEREST NOMINAL INTEREST AMORTIZATION

CARRYING
01/02/20 0 0 0

XX/XX/XX XX XX XX
XX
(YEAR END) [CARRYING x ER] [FACE x NR] [EFFECTIVE INT – NI]
[CA + DISC

AMOR –

PREM

AMOR]

FAIR VALUE OF BONDS (10M x 110%) 5,500,000

LESS: TRANSACTION COST (80,000)
INITIAL MEASUREMENT 5,420,000 = CARRYING AMOUNT

On March 1, 2020, Tiaong Company issued 10,000 of its P1,000 face value bonds at 95
plus accrued interest. Tiaong Company paid bond issue cost of P1,000,000.  The bonds
were dated November 1, 2019, mature on November 1, 2029, and bear interest at 12%
payable semiannually on November 1 and May 1. 
 
The net amount that Tiaong receive from the bond issuance is