Kalahari Limited on January 2,2013,this Company Issued 1,000,000,10-Year Bonds for $1,150,000.The
Kalahari Limited On January 2,2013,this company issued 1,000,000,10-year bonds for $1,150,000.The bonds pay interest on June 30 and December 31.The stated rate is 10% and the market rate is 8%.The company plans to use the effective interest method of amortizing bond discounts and premiums.
-Refer to Kalahari Limited.At the maturity date,besides an interest payment,the company would repay the bondholders
A) $850,000.
B) $1,150,000.
C) $1,000,000.
D) only the last interest payment.
Correct Answer:
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