User Account

All Pages

How much interest expense will be accounted

Assignment Help Accounting Basics
Reference no: EM132593838

Question - On January 1, 2015, Kramer International Inc. issued $400,000, 9%, 5-year bonds for $384,556. The bonds were sold to yield an effective interest rate of 10%. Interest is paid semi-annually on June 30 and December 31. The company uses the effective-interest method of amortization. How much interest expense will be accounted for in 2015?

A. $19,289.20

B. $19,227.80

C. $38,517.00

D. $38,455.60

E. None of the other alternatives are correct

Reference no: EM132593838

Questions Cloud

Prepare the appropriate journal entries to record salaries : Prepare the appropriate journal entries to record salaries and wages expense and payroll tax expense for the January 2013 pay period
Robotics application in healthcare : Conduct online research to find at least one new robotics application in healthcare. Prepare a brief summary of your research: the problem addressed, technology
Find the change in total stockholders equity during the year : If, on December 31 of the current year, total assets are $201,000, find the change in total stockholders' equity during the year
What are your thoughts on having a vaginal birth : Mary's 1st baby was delivered via cesarean section due to the baby being in the breech position. She is requesting a VBAC (vaginal birth after cesarean section)
How much interest expense will be accounted : The company uses the effective-interest method of amortization. How much interest expense will be accounted for in 2015
Characteristics about overall population of community : Is your privacy infringed if data mining reveals certain characteristics about the overall population of your community?
Explain the implications for practice and research : Did this theory propose implications for practice and research, for patients suffering from effects of childhood abuse? Explain/cite examples.
Distinguish between the common types of breast masses : CM is a 43-year-old female who presents with concerns regarding two painless right-breast lumps that she detected four months ago. She missed an appointment.
Preservation of computer evidence : Prepare a list of what items should be included in an initial-response field kit to ensure the preservation of computer evidence when the warrant is carried out

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd