Question
On Jan 1, 2020 Blake Co issued 10% bonds in the face value of $8,080,000 that mature on Jan 1, 2030. The bonds were issued
On Jan 1, 2020 Blake Co issued 10% bonds in the face value of $8,080,000 that mature on Jan 1, 2030. The bonds were issued for $9,164,320 to a yield of 8%, resulting in a bond premium of $1,084,320. Blake Co uses the effective interest method of amortizing bond premium. Interest is payable annually on Dec 31. At Dec 31, 2020 what should be Blake Co's adjusted unamortized bond premium?
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Governmental Accounting
Authors: Steven M. Bragg
2022nd Edition
1642210781, 978-1642210781
