Bonds are issued on June 1 that have interest payment dates of April 1 and October 1.Bond interest expense for the year ended December 31,2016,is for a period of:
A)Three months.
B)Four months.
C)Six months.
D)Seven months.

Question

Quizplus · Accepted Answer

The bond interest expense for the year ended December 31, 2016, covers the period from October 1, 2016, to December 31, 2016, which is seven months after the last interest payment date.

Bonds Are Issued on June 1 That Have Interest Payment