Answered: A company has a $2,500,000 bond issue…

A company has a $2,500,000 bond issue outstanding with an unamortized premium of $20,000 and unamortized issuance cost of $12,000. What is the book value of its liability?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 11GI

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What is the book value of its liability for this financial accounting question?

A company has a $2,500,000 bond issue outstanding with an
unamortized premium of $20,000 and unamortized issuance cost of
$12,000. What is the book value of its liability?

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