Bee Inc. issues P 3,000,000, 9%, bonds for P 2,817,000. The market interest rate for these bonds is 10%. Interest is payable annually on December 31. The company uses effective-interest method in amortization. At the end of the second year, Bee, Inc should report unamortized bond discount of: a. P 164,700 b. P 171,300 c. P 158,430 d. P 154,830
Bee Inc. issues P 3,000,000, 9%, bonds for P 2,817,000. The market interest rate for these bonds is 10%. Interest is payable annually on December 31. The company uses effective-interest method in amortization. At the end of the second year, Bee, Inc should report unamortized bond discount of: a. P 164,700 b. P 171,300 c. P 158,430 d. P 154,830
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 14MC: Whirlie Inc. issued $300,000 face value, 10% paid annually, 10-year bonds for $319,251 when the...
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Bee Inc. issues P 3,000,000, 9%, bonds for P 2,817,000. The market interest rate for these bonds is 10%. Interest is payable annually on December 31. The company uses effective-interest method in amortization. At the end of the second year, Bee, Inc should report unamortized bond discount of:
a. P 164,700
b. P 171,300
c. P 158,430
d. P 154,830
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