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please help with accounting with details please. thank you On November 1, 2018, Mason Corp. sold $800,000 of its ten-year, 8% term bonds dated October
please help with accounting with details please. thank you
On November 1, 2018, Mason Corp. sold $800,000 of its ten-year, 8% term bonds dated October 1, 2018. The bonds were sold to yield 10%, with total proceeds of $700,000 plus accrued interest. Interest is paid every April 1 and October 1. What amount should Mason report for interest payable in its December 31, 2018 balance sheet? Select one: $17, 500 $16,000 $11, 667 $10, 667 $20,000 For the issuer of a ten-year bond, the amount of interest expense using the effective interest method would increase each year if the bond were sold at: Select one: A discount or a premium A discount, but not a premium A premium, but not a discount Neither a discount nor a premium How would the amortization of Discount on Bonds Payable affect the Carrying Value of the Bond and Net Income, respectively? Select one: Increase, Decrease Increase, Increase Decrease, Decrease Decrease, Increase No Effect, IncreaseStep by Step Solution
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