Question
Grocery Corporation received $300,328 for 11 percent bonds issued on January 1, 2018, at a market interest rate of 8 percent. The bonds had a
Grocery Corporation received $300,328 for 11 percent bonds issued on January 1, 2018, at a market interest rate of 8 percent. The bonds had a total face value of $250,000, stated that interest would be paid each December 31, and stated that they mature in 10 years.
Required:
Prepare the following table for each account by indicating(a)whether it is reported on the Balance Sheet (B/S) or Income Statement (I/S);(b)the dollar amount by which the account increases, decreases, or does not change when Grocery Corporation issues the bonds; and(c)the direction of change in the account [increase, decrease, or no change] when Grocery Corporation records the interest payment on December 31.
I have done this question several times and I keep getting the same answer, I have gotten all other parts besides how much the interest expense is, I know im doing it right according to the book, is there anyway you can see if we get the same answer ?
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