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A Company Issued 10-Year,8% Bonds with a Par Value of $200,000.The

Question 18

Multiple Choice

A company issued 10-year,8% bonds with a par value of $200,000.The company received $190,000 for the bonds.Using the straight-line method,the amount of interest expense for the first semiannual interest period is:


A) $8,000.00
B) $8,500.00
C) $16,000.00
D) $7,500.00
E) $18,000.00

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