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Oliver Company Issued $800,000 of 6%, 5-Year Bonds at 98

Question 67

Multiple Choice

Oliver Company issued $800,000 of 6%, 5-year bonds at 98. Assuming straight-line amortization and annual interest payments, how much bond interest expense is recorded on the next interest date?


A) $48,000
B) $24,000
C) $49,600
D) $51,200

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