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Best Beans Coffee Comparyy issued bonds with a $280,000 face value on January 1, Year 1 . The bonds had a 6 petcent stated tate
Best Beans Coffee Comparyy issued bonds with a $280,000 face value on January 1, Year 1 . The bonds had a 6 petcent stated tate of interest and a four-vear ferm. Interest is paid in cash annually beginnong December 31 Year 1 . The bonds were issued at 96 . The straight-ine method is used for amontization Required: a. Determine the carrying value (tace value less discount or plus premium) of the bond llability as of Decemiber 31 , Year 1. b. Determine the amount of interest expense reported on the Year 1 income statement
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