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25. Rikki Company received proceeds of 188,000 on 10-year, 6% bonds issued on January 1, 2020. The bonds had a face value of 200,000, pay
25. Rikki Company received proceeds of 188,000 on 10-year, 6% bonds issued on January 1, 2020. The bonds had a face value of 200,000, pay interest annually on December 31, and have a call price of 101. Rikki uses the straight-line method of amortization. What is the amount of interest Rikki must pay the bondholders in 2020? a. 11,200 b. 12,000 c. 13,200 d. 10,800
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