On January 2,Year 1,Kangaroo Convenience Stores Issued 10-Year,$5,000,000,zero-Coupon Bonds at 75.What
On January 2,Year 1,Kangaroo Convenience Stores issued 10-year,$5,000,000,zero-coupon bonds at 75.What is the amount of interest expense recorded in Year 1 using the straight-line amortization method?
A) $125,000
B) $1,250,000
C) $3,750,000
D) $5,000,000
Correct Answer:
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