On March 1, 2022, Erik Company issued 10,000 of its P1,000 face value bonds at 95 plus accrued interest. Erik Company paid bond issue cost of P1,000,000. The bonds were dated November 1, 2021, mature on November 1, 2031, and bear interest at 12% payable semiannually on November 1 and May 1. The net amount that Erik receive from the bond issuance is Group of answer choices 8,500,000 9,500,000 8,900,000 9,000,000

On March 1, 2022, Erik Company issued 10,000 of its P1,000 face value bonds at 95 plus accrued interest. Erik Company paid bond issue cost of P1,000,000. The bonds were dated November 1, 2021, mature on November 1, 2031, and bear interest at 12% payable semiannually on November 1 and May 1. The net amount that Erik receive from the bond issuance is Group of answer choices 8,500,000 9,500,000 8,900,000 9,000,000

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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