Question
Oriole Company received proceeds of $596000 on 10-year, 8% bonds issued on January 1, 2019. The bonds had a face value of $632000, pay interest
Oriole Company received proceeds of $596000 on 10-year, 8% bonds issued on January 1, 2019. The bonds had a face value of $632000, pay interest annually on December 31, and have a call price of 104. Oriole uses the straight-line method of amortization. What is the amount of interest expense Oriole will show with relation to these bonds for the year ended December 31, 2020?
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Accounting A Smart Approach
Authors: Mary Carey, Cathy Knowles, Jane Towers-Clark
3rd Edition
0198745133, 978-0198745136
