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On November 1, 2021, Oriole Company purchased Sheffield, Inc., 10-year, 8%, bonds with a face value of $830000, for $750000. An additional $27000 was paid
On November 1, 2021, Oriole Company purchased Sheffield, Inc., 10-year, 8%, bonds with a face value of $830000, for $750000. An additional $27000 was paid for the accrued interest. Interest is payable semiannually on January 1 and July 1. The bonds mature on 2028. Oriole uses the straight-line method of amortization. Ignoring income taxes, the amount reported in Oriole's 2021 income statement as a result of Oriole's available-for-sale investment in Sheffield was O $7525. O $6200. O $4875. O $8200
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