On January 1,2016,an investor paid $291,000 for bonds with a face amount of $300,000.The stated rate of interest is 8% while the current market rate of interest is 10%.Using the effective interest method,how much interest income is recognized by the investor in 2016 (assume annual interest payments and amortization)?

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The Answer of On January 1,2016,an investor paid $291,000 for bonds with a face amount of $300,000.The stated rate of interest is 8% while the current market rate of interest is 10%.Using the effective interest method,how much interest income is recognized by the investor in 2016 (assume annual interest payments and amortization)?

On January 1,2016,an Investor Paid $291,000 for Bonds with a Face