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Question - CASIO Corporation issued P500,000 face value bonds on January 1, 2018. The bonds, which will mature on January 1, 2021 pay interest of 12% every December 31. The bonds are issued to yield 10% interest.
Required -
1. What was the issue price of the bonds?
2. What the carrying value of the bonds on December 31, 2019?
3. What the interest expense in 2020?
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