On January 1, 2010, Zooland Enterprises sold 8%, 20-year bonds with a face amount of $1,000,000 for $960,000. Interest is payable semiannually on July 1 and January 1.
Instructions
Calculate the carrying value of the bond at December 31, 2010 and 2011.

Question

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The Answer of On January 1, 2010, Zooland Enterprises sold 8%, 20-year bonds with a face amount of $1,000,000 for $960,000. Interest is payable semiannually on July 1 and January 1.
Instructions
Calculate the carrying value of the bond at December 31, 2010 and 2011.

On January 1, 2010, Zooland Enterprises Sold 8%, 20-Year Bonds