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On January 1, Sunny Skies, Inc. issued and sold a $2.500,000, 6.09 20-year bond payable and received proceeds of $2,000,000. Interest is payable cach june

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On January 1, Sunny Skies, Inc. issued and sold a $2.500,000, 6.09 20-year bond payable and received proceeds of $2,000,000. Interest is payable cach june 30 and December 31. The company uses the straight line method to amortize the discount. The amount of discount amortization each period is O $150.000 $12.500 $500,000 O $25.000 375.000

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