![mooreadrian4123532](/avatars/40429.jpg)
mooreadrian4123532
06.05.2020 •
Business
A company issues $14600000, 9.8%, 20-year bonds to yield 10% on January 1, 2020. Interest is paid on June 30 and December 31. The proceeds from the bonds are $14349477. Using effective-interest amortization, what will the carrying value of the bonds be on the December 31, 2020 balance sheet? $14363090 $14353728 $14600000 $14351551
Solved
Show answers
More tips
- C Computers and Internet Thin Client: What It Is and Why You Need It?...
- F Food and Cooking The Most Delicious and Simple Fish in Batter Recipe...
- D Dating, Love, Relationships How Long Can Love Last?...
- A Auto and Moto Mastering One-Movement Parking: All You Need to Know...
- C Computers and Internet How to Properly Order Clothing from International Online Stores...
- H Health and Medicine Headache: A Comprehensive Guide to Treatment...
- F Family and Home How to Choose the Best Diapers for Your Baby?...
- A Auto and Moto Discovering the Leader: What is the Most Expensive Car in the World?...
- F Food and Cooking How to Quickly Put your Child to Sleep?...
- C Computers and Internet How to Create a Website for Free and Easy?...
Answers on questions: Business
- B Business Hi Can you subscribe to my youtubr channel for a Florida_kik is my name...
- B Business Suppose a common resourcelong dash—wood in a public forestlong dash—is being overused because residents consider the benefits of gaining firewood or wood for building but do...
- B Business Sam is a manager of a large software company. he refuses to promote women. this is an example of which attitude component?...
- B Business An oligopolist differs from a perfect competitor in that A. there is cutthroat competition in perfect competition but little competition in oligopoly because firms have significant...
- B Business Inventory becomes part of cost of goods sold when a company...
- B Business 3. Strategic business units (SBUs) with a low share of slow-growth markets that may generate enough cash to sustain themselves but do not hold the promise of ever becoming real...
- B Business Suppose there are 100 firms each with a short run total cost of STC = q2 + q + 10, so that marginal cost is MC = 2q +1. if the market demand is given by...
- B Business An options strategy where the maximum potential loss is equal to the difference between the value of the underlying long securities position and premiums received is a:...
- B Business Which section of the Lean Canvas is meant to show progress by hitting particular milestones of development that are essential? • A. Success metrics • B. Pain points identified...
- M Mathematics a rectangular piece of cardboard measuring 16 in by 24 in is to be made into a box by cutting equal size squares from each corner and folding up the sides. let x represent the...
Ответ:
The correct option is $14,353,728
Explanation:
The carrying value of the bond using effective interest comprises of the proceeds from the issue with interest added(based on the proceeds) minus the coupon interest paid for the year as shown below
Periods Bal b/f interest at10%/2 coupon interest at9.8% Bal c/f
1 $14,,349477 $717,473.85 -$715,400.0 $14,351,550.85
2 $14,351,550.85 $717,577.54 -$715,400.0 $14,353,728.39
The closing balance is the opening balance plus interest minus the coupon interest,which invariably gives $14,353,728.39 at the end of the year 2020
Ответ: