Question
On July 1, 2021, Lejune Industries issued $480,000 of 7% bonds, dated July 1. Interest is payable semiannually on June 30 and December 31. The
On July 1, 2021, Lejune Industries issued $480,000 of 7% bonds, dated July 1.
Interest is payable semiannually on June 30 and December 31.
The bonds mature in 3 years.
Fourier, Inc. purchased the entire bond issue on a date when the market interest rate for bonds of similar risk and maturity was 10%.
Calculate the cash that Fourier will record on December 31, 2021 when it receives the first interest payment.
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Financial Accounting in an Economic Context
Authors: Jamie Pratt
8th Edition
9781118139424, 9781118139431, 470635290, 1118139429, 1118139437, 978-0470635292
