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14. On January 1, 2022, Kimbrough Inc. issued Rs 5,000,000,9% bonds for Rs 4,695,000. The market rate of interest for these bonds is 10%. Interest
14. On January 1, 2022, Kimbrough Inc. issued Rs 5,000,000,9% bonds for Rs 4,695,000. The market rate of interest for these bonds is 10%. Interest is payable annually on December 31 . Kimbrough uses the effective-interest method of amortizing bond discount. At December 31, 2022, Kimbrough should have unamortized bond discount in the amount of a. Rs 274,500 . b. Rs 285,500 . c. Rs 258,050 . d. Rs255,000. 15. On June 30, 2022, Baker Co. had outstanding 8\%, A\$6,000,000 face amount, 15-year bonds maturing on June 30,2029 . Interest is payable on June 30 and December 31 . The unamortized balances in the bond discount account on June 30, 2022 was A\$210,000. On June 30, 2022, Baker acquired all of these bonds at 94 and retired them. What net carrying amount should be used in computing gain or loss on this early extinguishment of debt? a. A$5,940,000 b. A$5,790,000 c. A$5,730,000 d. A$5,640,000
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