Question
On January 1, 2014, Tonika Corporation issued a six-year, $10,000, 9% bond. The interest is payable annually each December 31. The issue price was $9,565
On January 1, 2014, Tonika Corporation issued a six-year, $10,000, 9% bond. The interest is payable annually each December 31. The issue price was $9,565 based on an 10% effective interest rate. Assuming effective-interest amortization is used, the December 31, 2015 book value after the December 31, 2015 interest payment was made is closest to:
$9,565. $9,560. $9,684. $9,622.
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Accounting For Non Accounting Students
Authors: John Dyson, Ellie Franklin
10th Edition
1292286938, 9781292286938
