8. On February 1, 2015, Pat Weaver Inc. (PWI) issued 9%, $1,100,000 bonds for $1,400,000. PWI retired all of these bonds on January 1, 2016, at 104. Unamortized bond premium on that date was $114,400. How much gain or loss should be recognized on this bond retirement?

$99,000 gain. $126,000 gain. $0 gain. $70,400 gain.

9. TMC issued $90 million of its 12% bonds on April 1, 2016, at 98 plus accrued interest. The bonds are dated January 1, 2016, and mature on December 31, 2035. Interest is payable semiannually on June 30 and December 31. What amount did TMC receive from the bond issuance? (Do not round intermediate calculations.) $88.20 million. $90.90 million. $85.50 million. $92.70 million.

10. On September 1, 2016, Sam's Shoe Co. issued $460,000 of 9% bonds. The bonds pay interest semiannually on January 1 and July 1 of each year. The bonds were sold at the face amount. How much cash did Sam's receive upon sale of the bonds? (Do not round intermediate calculations and round final answer to nearest whole dollar.) $480,700. $501,400. $466,900. $460,000.

11. Auerbach Inc. issued 6% bonds on October 1, 2016. The bonds have a maturity date of September 30, 2026 and a face value of $475 million. The bonds pay interest each March 31 and September 30, beginning March 31, 2017. The effective interest rate established by the market was 8%. Assuming that Auerbach issued the bonds for $410,447,453, what interest expense would it recognize in its 2016 income statement? (Do not round intermediate calculations and round final answer to nearest whole dollar.)

$0 $8,208,949 $16,417,898 $9,500,000

12. Auerbach Inc. issued 4% bonds on October 1, 2016. The bonds have a maturity date of September 30, 2026 and a face value of $370 million. The bonds pay interest each March 31 and September 30, beginning March 31, 2017. The effective interest rate established by the market was 6%.

Assuming that Auerbach issued the bonds for $319,716,000, what would the company report for its net bond liability balance after its first interest payment on March 31, 2017?

$324,098,960 $321,907,480 $317,524,520 $319,716,000