Question
Ava, Inc., issued 8% bonds, dated January 1, with a face amount of $202,900 on January 1, 2016 for an issue price of 89. The
Ava, Inc., issued 8% bonds, dated January 1, with a face amount of $202,900 on January 1, 2016 for an issue price of 89. The bonds mature on December 31, 2025 (10 years). For bonds of similar risk and maturity the market yield is 10%. Interest is paid annually on December 31. What is the carrying value of the bond on December 31,2016?
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Contemporary Auditing
Authors: Michael C Knapp
12th Edition
357515404, 978-0357515402
