MC Qu. 59 LO 14-02, 14-04 Auerbach Inc. issued... Auerbach Inc. issued 8% bonds on...
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MC Qu. 59 LO 14-02, 14-04 Auerbach Inc. issued... Auerbach Inc. issued 8% bonds on October 1, 2013. The bonds have a maturity date of September 30, 2023 and a face value of $600 million. The bonds pay interest each March 31 and September 30, beginning March 31, 2014. The effective interest rate established by the market was 10%. Assuming that Auerbach issued the bonds for $525,222,000, what would the company report for its net bond liability balance at December 31, 2013, rounded to the nearest thousand? (Do not round your intermediate calculation.) $599,000,000 $526,353,000 $513,222,000 $537,222,000
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