IFRS TEST BANKOn 1/1/2020, Al Maaref Company issued a loan bond with an interest rate of 8% and a nominal value of 1,500,000 dinars, and the value of the bond will be redeemed on 12/31/2023 with a substantial premium. The direct costs of issuing this bond amounted to 40,000 dinars. If you know that the effective interest rate on similar bonds, but without the condition of redemption at a substantial premium, is 12%, what is the balance of the loan bond as of 12/31/2022 (to the nearest thousand): 1. 1,622,000 dinars 2. 1,382,000 dinars 3. 1,577,000 dinars 4. 1,413,000 dinars

IFRS TEST BANKOn 1/1/2020, Al Maaref Company issued a loan bond with an interest rate of 8% and a nominal value of 1,500,000 dinars, and the value of the bond will be redeemed on 12/31/2023 with a substantial premium. The direct costs of issuing this bond amounted to 40,000 dinars. If you know that the effective interest rate on similar bonds, but without the condition of redemption at a substantial premium, is 12%, what is the balance of the loan bond as of 12/31/2022 (to the nearest thousand): 1. 1,622,000 dinars 2. 1,382,000 dinars 3. 1,577,000 dinars 4. 1,413,000 dinars

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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