On 2 January 2014, Mahoney Sales issued $10 000 in debentures for $9 400. They were 5- year debentures with a stated rate of 4%, and pay half- yearly interest payments. Mahoney Sales uses the straight- line method to amortise the debenture discount. After the first interest payment on 30 June 2014, what was the debenture carrying amount?
A)$9 880
B)$9 400
C)$9 460
D)$10 000

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The Answer of On 2 January 2014, Mahoney Sales issued $10 000 in debentures for $9 400. They were 5- year debentures with a stated rate of 4%, and pay half- yearly interest payments. Mahoney Sales uses the straight- line method to amortise the debenture discount. After the first interest payment on 30 June 2014, what was the debenture carrying amount?
A)$9 880
B)$9 400
C)$9 460
D)$10 000

On 2 January 2014, Mahoney Sales Issued $10 000 in Debentures