Assuming that Auerbach issued the bonds for $255,369,000, what would the company report for its net bond liability balance at December 31, 2009, rounded up to the nearest thousand?
A) $252,369,000
B) $256,369,000
C) $256,200,000
D) $257,030,070.This is the beginning liability of $255,369,000 + interest accrued for three months (1.5% of issue price) interest payable of $3,000,000 ($300,000,000 4% 3/12) .
Correct Answer:
Verified
Q53: What would be the total interest expense
Q54: Zero-coupon bonds
A)offer a return in the form
Q55: What is the effective annual rate of
Q56: What is the interest expense on the
Q58: The market price of a bond issued
Q59: What is the effective annual rate of
Q60: What is the carrying value of the
Q61: When the interest payment dates are March
Q62: On January 1, 2009, an investor paid
Q63: Eagle Company issued ten-year bonds at 96
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents