On December 31, 2016, Creative Corporation issued a 3-year, 9%, $1,000 bond payable. Beginning in 2017, interest is payable every January 1 over the life of the bond. The market rate of interest on December 31, 2016 is 5%. If Creative uses the effective interest method, show how the bonds will appear on Creative's balance sheet at December 31, 2016.

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The Answer of On December 31, 2016, Creative Corporation issued a 3-year, 9%, $1,000 bond payable. Beginning in 2017, interest is payable every January 1 over the life of the bond. The market rate of interest on December 31, 2016 is 5%. If Creative uses the effective interest method, show how the bonds will appear on Creative's balance sheet at December 31, 2016.

On December 31, 2016, Creative Corporation Issued a 3-Year, 9