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On January 1 2018, Statewide Sales issued S33 000 in bonds for $15,700. These are six-year bonds with a stated rate of 9% and pay
On January 1 2018, Statewide Sales issued S33 000 in bonds for $15,700. These are six-year bonds with a stated rate of 9% and pay semiannual interest. Statewide Sales uses the straight-line method to amortize the Bond Discount. Immediately after the issue of the bonds, the ledger balances appeared as follows Bonds Payable 33,000 Discount on Bonds Payable 17 After the second interest payment on December 31, 2018, what is the balance of Discount on Bonds Payable? (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar) OA. debit of $14,417 O B. credit of $17,300 O C. debit of $15,858 D. debit of $18,742 On July 1, 2018, Mason & Beech Services issued S44 000 of 12% bonds that mature in five years. They were issued at par. The bonds pay semiannual interest payments on June 30 and December 31 of each year. On December 31, 2018, what is the total amount paid to bondholders? OA. $1,760 B. $1,320 O C. $2,640 OD. $5.280 On December 1 2018, Garden Products borro d S92 000 on a 5%, 10-year note with annual installment payments of S9.200 plus interest due on December 1 of each subsequent year. Which of the following describes the first installment payment made on December 1, 2019? (Round your answer to the nearest whole number.) O A. $4,600 interest only B. $9,200 principal plus $9,200 interest C. $9,200 principal plus $460 interest D. $9,200 principal plus $4,600 interest
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