- Discount Mart Issues 16 Million In Bonds On January 1 2021 The Bonds Have A Ten Year Term And Pay Interest Semiannual 1 (59.01 KiB) Viewed 33 times
Discount-Mart issues $16 million in bonds on January 1, 2021. The bonds have a ten-year term and pay interest semiannually on June 30 and December 31 each year. Below is a partial bond amortization schedule for the bonds: Interest Expense Increase in Carrying Value Cash Paid Date 01/01/2021 06/30/2021 12/31/2021 06/30/2022 12/31/2022 $800,000 800,000 800,000 800,000 $849,889 852,882 856,055 859,418 $49,889 52,882 56,055 59,418 Carrying Value $14,164,813 14, 214,702 14,267,584 14,323,639 14,383,057 What is the interest expense on the bonds in 2021? Multiple Choice $1,702,771 $849,889 O о $852.882
12/31/2022 800,000 859,418 59, 418 14,383,057 What is the interest expense on the bonds in 2021? Multiple Choice $1,702,771. $849,889. d $852,882. $1,600,000 O