Refer to Kalahari Limited. What is the carrying value of the bonds after the first interest payment is made on June 30, 2013?

Question

Quizplus · Accepted Answer

The carrying value of the bonds after the first interest payment is made on June 30, 2013, can be calculated using the following formula:
Carrying Value = Face Value of Bonds - Unamortized Discount + Accrued Interest
= $1,200,000 - $54,000 + ($90,000 x 6/12)
= $1,146,000
Therefore, the correct answer is option B.