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At the beginning of 2020, Vaughn Manufacturing issued 8% bonds with a face value of $5300000. These bonds mature in five years, and interest is
At the beginning of 2020, Vaughn Manufacturing issued 8% bonds with a face value of $5300000. These bonds mature in five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $4909920 to yield 10%. Vaughn uses a calendar-year reporting period. Using the effective-interest method of amortization, what amount of interest expense should be reported for 2020? (Round your answer to the nearest dollar.) $491321 $492667 $489989 $505535
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