Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. (c) ron kenoly inc. issued $626,300 of 8%, 8-year

(c) Ron Kenoly Inc. issued $626,300 of 8%, 8-year bonds on June 30, 2014, for...

60.1K

Verified Solution

Question

Accounting

(c) Ron Kenoly Inc. issued $626,300 of 8%, 8-year bonds on June 30, 2014, for $499,716. This price provided a yield of 12% on the bonds. Interest is payable semiannually on December 31 and June 30. If Kenoly uses the effective-interest method, determine the amount of interest expense to record if financial statements are issued on October 31, 2014. (Round answer to 0 decimal places, e.g. 38,548.)

Interest expense to be recorded $ ___________

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students