Farmer Company issues P 20,000,000 of 10-year, 9% bonds on March 1, 2020 at 97 plus accrued interest. The bonds are dated January 1, 2020, and pay interest on June 30 and December 31. What is the total cash received on the issue date? a. P 19,400,000 b. P 20,450,000 c. P 19,700,000 d. P 19,100,000
Farmer Company issues P 20,000,000 of 10-year, 9% bonds on March 1, 2020 at 97 plus accrued interest. The bonds are dated January 1, 2020, and pay interest on June 30 and December 31. What is the total cash received on the issue date? a. P 19,400,000 b. P 20,450,000 c. P 19,700,000 d. P 19,100,000
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 5MC: On January 1, a company issued a 5-year $100,000 bond at 6%. Interest payments on the bond of $6,000...
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Farmer Company issues P 20,000,000 of 10-year, 9% bonds on March 1, 2020 at 97 plus accrued interest. The bonds are dated January 1, 2020, and pay interest on June 30 and December 31. What is the total cash received on the issue date?
a. P 19,400,000
b. P 20,450,000
c. P 19,700,000
d. P 19,100,000
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