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On January 1, 2023, Ajax Ltd. issued $10 million in bonds. The bonds have a 10-year term, 6% annual market interest rate, and pay interest
On January 1, 2023, Ajax Ltd. issued $10 million in bonds. The bonds have a 10-year term, 6% annual market interest rate, and pay interest semiannually. The seventeenth semiannual payment of $400,000 consisted of $311,15, interest and $88,849 premium amortization, after which the carrying amount was reduced to $10,282,861. What is the carrying value of the bonds after the eighteenth semiannual payment of $400,000?
Question 4 options:
| $10,000,000 |
| $10,065,889 |
| $10,191,347 |
| This problem cannot be solved with the information given. |
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