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On January 1, Y1, Mahoney issued $10,000 in bonds for $10,900. They were 5-year bonds with a stated rate of 4% and pay semi-annual interest.
On January 1, Y1, Mahoney issued $10,000 in bonds for $10,900. They were 5-year bonds with a stated rate of 4% and pay semi-annual interest. Mahoney uses the straight-line method to amortize the bond premium. What was the bond carrying value on January 2, Y2? a. $9,100 b. $10,720 c. $10,120 d. $9,180
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