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Blackhawk Inc. issued a $10,000,000 bond due in 10 years on June 1, 2021. Interest payments will be made semi-annually at a 7% annual stated
Blackhawk Inc. issued a $10,000,000 bond due in 10 years on June 1, 2021. Interest payments will be made semi-annually at a 7% annual stated rate. Assuming the issue price of the bond was $9,782,665 select all that apply: At issuance, Blackhawk will record a debit to Bond Premium Blackhawk will record a Bond Payable Liability for $10,000,000 at issuance Interest payments made will be higher than interest expense recorded The bond was issued at a discount BE The market interest rate is higher than the stated interest rate Talon, Inc. issues 20,000, $100 bonds at a stated rate of 5%. The bonds will mature in 20 years, and interest is paid semi-annually. The market rate of interest on the day of issuance is 7%. How much cash does the company pay to the bondholders over the life of the bond? (This includes issuance, interest, and maturity.) Round to the nearest whole dollar. [1] On October 1, 2020, Pak Company paid $4,800 for a two-year insurance policy with the insurance coverage beginning on that date. As of December 31, 2020, the correct account balance for prepaid insurance is and insurance expense is after adjusting entries have been made
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