On June 30, 2019, Holman Construction issued 10-year bonds with a total face value of $2,500,000. When the 8% coupon rate bonds were issued, the market rate was 10%. Assuming that Holman pays interest every six months on December 31st and June 30th, what are the proceeds that Holman Construction received on the issue date, June 30, 2019?

Select one:

a. $2,188,444.74

b. $2,192,771.64

c. $2,500,000.00

d. $2,839,758.16

Oliver Company uses the percentage of accounts receivable ending balance method to estimate its bad debt expense at 2%. The accounts receivable beginning balance is $200,000 and the ending balance is $150,000. During the year, Oliver had credit sales of $72,000, write-offs of $7,000, and collections of accounts receivable of $115,000. What is the ending balance for the allowance for doubtful accounts reported in the balance sheet?

Select one:

a. $3,000

b. $4,000

c. $1,000

d. $2,000