5. When an interest-bearing note matures, the balance in the Notes Payable account is (Points : 1)

less than the total amount repaid by the borrower. the difference between the maturity value of the note and the face value of the note. equal to the total amount repaid by the borrower. greater than the total amount repaid by the borrower.

9. Investors who receive checks in their names for interest paid on bonds must hold (Points : 1)

registered bonds. coupon bonds. bearer bonds. direct bonds.

Question 10.10. As interest is recorded on an interest-bearing note, the Interest Expense account is (Points : 1)

increased; the Notes Payable account is increased. increased; the Notes Payable account is decreased. increased; the Interest Payable account is increased. decreased; the Interest Payable account is increased.

Question 11.11. Pan Company received proceeds of $188,000 on 10-year, 6% bonds issued on January 1, 2017. The bonds had a face value of $200,000, pay interest semi-annually on June 30 and December 31, and have a call price of 101. Pan uses the straight-line method of amortization. What is the amount of interest expense Pan will show with relation to these bonds for the year ended December 31, 2017? (Points : 1)

$12,000 $11,200 $13,200 $10,800