Question
Pina Colada Inc. issued $520,000 of 10-year, 8% bonds on June 30, 2020, for $484,160. This price provided a yield of 9% on the bonds.
Pina Colada Inc. issued $520,000 of 10-year, 8% bonds on June 30, 2020, for $484,160. This price provided a yield of 9% on the bonds. Interest is payable semi-annually on December 31 and June 30. If Pina Colada uses the effective interest method, determine the amount of interest expense to record if financial statements are issued on October 31, 2020. (Round answer to 0 decimal places, e.g. 5,275.)
Enter your answer in accordance to the question statement
Interest expense to be reported $ ..........
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Kingbird Inc. sold $2 million of 10-year, 8% bonds at 103 on January 1, 2020. The bonds were dated January 1, 2020 and pay interest on July 1 and January 1. If Kingbird follows ASPE and uses the straight-line method to amortize bond premium or discount, determine the amount of interest expense to be reported on July 1, 2020, and December 31, 2020. (Round answer to 0 decimal places, e.g. 5,275.) Enter your answer in accordance to the question statement
Interest expense to be reported $
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PLAESE ASAP
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