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ALT-BOND-BASICS Johnson Company issued $3,000,000 of bonds with an interest rate of 8% and 6 year maturity. The bonds were issued at a price of
| ALT-BOND-BASICS | |||||||||
| Johnson Company issued $3,000,000 of bonds with an interest rate of 8% and 6 year maturity. | |||||||||
| The bonds were issued at a price of 102%. | |||||||||
| 1 | How much cash did Johnson Company receive at issuance? | 3060000 | |||||||
| 2 | How much will Johnson need to pay off the bonds at maturity? | ||||||||
| 3 | How much interest will Johnson pay per year? | ||||||||
| 4 | Were the bonds issued at face value, at a discount, or at a premium? | ||||||||
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Computerized Accounting Using QuickBooks Pro 2020
Authors: Alvin A. Arens, D. Dewey Ward, Carol J. Borsum
6th Edition
0912503793, 9780912503790
