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Spring Company sells $300,000 of 13%, 15-year bonds for 96.8507 on April 1, 2018. The market rate of interest on that day is 13.5%. Interest
Spring Company sells $300,000 of 13%, 15-year bonds for 96.8507 on April 1, 2018. The market rate of interest on that day is 13.5%. Interest is paid each year on April 1. The issue price of the bond is $290,552. Spring Company uses the straight-line amortization method. The amount of interest expense for each year will be (Round intermediary calculations to the nearest whole number.) O A. $39,630. B. $39,000. OC. $41,130. OD. $19,811. E none of these
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