Knollwood Corporation issued $286,000 of 30-year, 8 percent bonds at 106 on one of its semiannual interest dates. The straight-line method of amortization is to be used. The entry to record the bond interest expense on the next interest payment date is:

A) Bond Interest Expense 11,440 Cash 11,440
B) Bond Interest Expense 11,726 Cash 11,726
C) Bond Interest Expense 10,840 Cash 10,840
D) Bond Interest Expense 11,154 Unamortized Bond Premium 286Cash 11,440


D

Business

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Business