Solution-Find the amount to record as cost of long-term

Find the amount to record as cost of long-term investment

Reference no: EM131779239

Question - Kern Company purchased bonds with a face amount of $400,000 between interest payment dates. Kern purchased the bonds at 102, paid brokerage costs of $6,000, and paid accrued interest for three months of $10,000. The amount to record as the cost of this long-term investment in bonds is

A) $424,000.

B) $414,000.

C) $408,000.

D) $400,000.

Reference no: EM131779239

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Find the amount to record as cost of long-term investment

Reference no: EM131779239

Reference no: EM131779239

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Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

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