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On January 1, your company issues a 5-year bond with a face value of $10,000 and a stated interest rate of 9% The market interest

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On January 1, your company issues a 5-year bond with a face value of $10,000 and a stated interest rate of 9% The market interest rate is 7%. The issue price of the bond was $11,046. Using the effective-interest method of amortization, the interest expense for the first year ended December 31 would be: Multiple Choice $700.00. $900.00. $994.14 $773.22

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