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InterTech Corporation needed financing to build a new manufacturing plant. On June 30, 2017, InterTech issued...

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Accounting

InterTech Corporation needed financing to build a newmanufacturing plant. On June 30, 2017, InterTech issued $4,350,000of 8-year bonds with a 6% coupon rate (payments due on December31st and June 30th). The effective interest rate was 8%.

What amount in interest expense did InterTech record for theJune 30, 2018 payment?

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Interest expense to be recorded on June 30 2018 154654 Bond will be issued at discount so some part of interest will have parts of Discount on bond Working Bonds issue price is calculated by ADDING the Discounted face value of bonds    See Answer
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