What should transactions should be recorded on january

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Question 1: Issued a $200,000 face-value bond on January 1, 2020 at 98. The bond had a stated interest rate of 6%, an effective interest rate of 6.481%, and a 5 year term to maturity. Interest is payable in cash annually on December 31st. The company uses the effective interest method to amortize bond discounts. What should transactions should be recorded?

Reference no: EM132873426

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