Proper balance sheet presentation for the liability

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Reference no: EM131290102

On June 30, 2014, Mischa Auer Company issued $4,117,000 face value of 11%, 18-year bonds at $4,457,627, a yield of 10%. Auer uses the effective-interest method to amortize bond premium or discount. The bonds pay semiannual interest on June 30 and December 31.

(a) Show the proper balance sheet presentation for the liability for bonds payable on the December 31, 2015, balance sheet. (Round answers to 0 decimal places, e.g. 38,548.)

Reference no: EM131290102

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