On December 31, 2016, Grumpy Corporation issued $950,000, 8%, 15-year bonds for $803,964 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 10EA: Pinetop Corporation issued $150,000 10-year bonds at par. The bonds have a stated rate of 6% and pay...
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On December 31, 2016, Grumpy Corporation issued
$950,000, 8%, 15-year bonds for $803,964 cash when
the market rate of interest was 10%. The bonds pay
interest semi-annually each June 30 and December
31.
Transcribed Image Text:On December 31, 2016, Grumpy Corporation issued $950,000, 8%, 15-year bonds for $803,964 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31.
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