Blossom Inc. issued $884,000 of 10-year, 3% bonds on January 1, 2024. Interest is to be paid semi-annually. The market interest rate was 4%. (a) Your answer is partially correct. What is the face value of the bond? When will this be paid? Face value of the bond $

Blossom Inc. issued $884,000 of 10-year, 3% bonds on January 1, 2024. Interest is to be paid semi-annually. The market interest rate was 4%. (a) Your answer is partially correct. What is the face value of the bond? When will this be paid? Face value of the bond $

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Blossom Inc. issued $884,000 of 10-year, 3% bonds on January 1, 2024. Interest is to be paid semi-annually. The market interest rate
was 4%.
(a)
Your answer is partially correct.
What is the face value of the bond? When will this be paid?
Face value of the bond $
When will it be paid
January 1, 2034

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