Kelemen Asset Management invested in the bonds of DEF Co.on 1/1/16.Kelemen intends to hold the bonds until maturity.These 5-year bonds had a face vale of $300,000,pay 5% interest on 6/30 and 12/31 of each year,and were issued when the market rate of interest was 6%,resulting in a cost of $287,205.How much interest revenue will Kelemen record on 6/30/16?
A) $9,000
B) $7,180
C) $7,500
D) $8,616
Correct Answer:
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