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Larson Company Issued $1,000,000 of 8%, 5-Year Bonds at 106

Question 63

Multiple Choice

Larson Company issued $1,000,000 of 8%, 5-year bonds at 106.Assuming straight-line amortization and annual interest payments, what is the amount of the amortization at each interest payment point?


A) $6,000
B) $12,000
C) $80,000
D) $68,000

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