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On January 1, Thompson Corporation issued $4,000,000, 14%, 5-year bonds with interest payable on December 31. The bonds sold for $4288,384. The market rate of

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On January 1, Thompson Corporation issued $4,000,000, 14%, 5-year bonds with interest payable on December 31. The bonds sold for $4288,384. The market rate of interest for these bonds was 12%. On the first interest date, using the effective interest method, the debit entry to interest Expense is for $480,000 $560.000 $514.606 $502.324

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