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What amount of interest must be included in income for year

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Problem 1: B Inc. purchased a $20,000 bond on its issue date, October 1, Year 1. The bond pays interest at maturity, September 30, Year 4, at a rate of 4% compounded annually. B Inc. has a December 31 year end. What amount of interest must be included in income for Year 1?

Reference no: EM132695301

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