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On January 1, a company issued a $501,000, 10%, 8-year bond payable, and received proceeds of $487,000. Interest is payable each June 30 and December

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On January 1, a company issued a $501,000, 10%, 8-year bond payable, and received proceeds of $487,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The amount of discount amortized each period is $812.50. True False

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