Question
The Company sold $2,500,000 of 8 percent, five-year bonds on January 1, 2011, and would pay interest semiannually, on June 30 and December 31 of
The Company sold $2,500,000 of 8 percent, five-year bonds on January 1, 2011, and would pay interest semiannually, on June 30 and December 31 of each of the five years. It sold the bonds on January 1, 2011, at 96 because the market rate of interest for similar investments was 9 percent. It decided to amortize the bond discount by using the effective interest method.
15. With regard to the bond issue on January 1, 2011, how much cash is received?
16. With regard to the bond issue on January 1, 2011, how much is bond discount?
17. With regard to the bond interest payment on December 31, 2011, how much cash is paid in interest?
18. With regard to the bond interest payment on December 31, 2011, how much is the amortization?
19. With regard to the bond interest payment on December 31, 2011, how much is interest expense?
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Satoshi S Vision The Art Of Bitcoin
Authors: Craig Wright ,Paul Democritou
1st Edition
1688735925, 978-1688735927
