Appling Enterprises issued 8% bonds with a face amount of $400000 on January 1 2013. The bonds sold for $331364 and mature in 2032 (20
years). For bonds of similar risk and maturity the market yield was 10%. Interest is paid semiannually on June 30 and December 31. Appling
determines interest expense at the effective rate. Appling elected the option to report these bonds at their fair value. The fair values of the
bonds at the end of each quarter during 2013 as determined by their market values in the over-the-counter market were the following:

By how much will Appling%u2019s earnings be increased or decreased by the bonds (ignoring taxes) in the March 31 quarterly
financial statements? (Input the amount as positive value. Round your answer to the nearest dollar
amount.)
(Click to select) decreased increased by $

By how much will Appling%u2019s earnings be increased or decreased by the bonds (ignoring taxes) in the June 30 quarterly
financial statements? (Input the amount as positive value. Round your answer to the nearest dollar
amount.)
(Click to select) increased decreased by $

By how much will Appling%u2019s earnings be increased or decreased by the bonds (ignoring taxes) in the September 30 quarterly financial statements? (Input the amount as positive value. Round your answer to the
nearest dollar amount.)
(Click to select) increased decreased by $

By how much will Appling%u2019s earnings be increased or decreased by the bonds (ignoring taxes) in the December 31 annual
financial statements? (Input the amount as positive value. Round your answer to the nearest dollar
amount.)
(Click to select) decreased increased by $