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On January 1,2017,Carter Sales Issued $38,000 in Bonds for $16,700

Question 109

Multiple Choice

On January 1,2017,Carter Sales issued $38,000 in bonds for $16,700.These are six-year bonds with a stated interest rate of 11%,and pay semiannual interest.Carter Sales uses the straight-line method to amortize the Bond Discount.What amount is debited to Interest Expense on June 30,2017?


A) $2,090
B) $3,865
C) $1,775
D) $43,297

Correct Answer:

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