If $800,000, 6% bonds are issued on January 1, and pay interest annually, the amount of interest paid on the following January 1 will be $48,000.

Name: If $800,000, 6% bonds are issued on January 1, and pay interest annually, the amount of interest paid on the following January 1 will be $48,000.
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Quizplus · Accepted Answer

This is true because a 6% interest rate on $800,000 is $48,000, which is the amount of interest paid annually. Therefore, on the following January 1, the interest paid will still be $48,000.

If $800,000, 6% Bonds Are Issued on January 1, and Pay