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A company issued 9.2%, 10- year bonds with a par value of $100,000. Interest is paid semiannually. The market interest rate on the issue date
A company issued 9.2%, 10- year bonds with a par value of $100,000. Interest is paid semiannually. The market interest rate on the issue date was 10% and the issuer received $95,016 cash for the bonds. On the first semiannual interest date, what would be debited to discount on bonds payable assuming the effective-interest method is used for amortization?
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