A corporation issues $100,000, 10%, 5-year bonds on January 1, 2009, for $104,200. Interest is paid semiannually on January 1 and July 1. If the corporation uses the straight-line method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1, 2009, is
A) $10,420.
B) $5,420.
C) $5,000.
D) $4,580.
D
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Lawrence, an employee of Light, Inc., has gross salary for March of $4,000. The entire amount is under the OASDI limit of $118,500, and thus subject to FICA. His year-to-date pay has already exceeded the $7,000 cap for FUTA and SUTA. Which of the following is a part of the journal entry to record the employer's payroll taxes?
A) debit to Payroll Tax Expense B) debit to FICA Taxes Payable C) credit to Payroll Tax Expense D) debit to Cash
When taking the direct approach in dealing with bad news, what is the last element of the message?
A) Clarifying and restating a similar situation will never happen again B) Putting the news in context to soften it C) Apologizing for the news D) Assuming responsibility for the mistake E) Announcing how the problem will be fixed, or prevented, in the future
When the rate of return on total assets ratio is greater than the rate of return on common stockholders' equity ratio, the management of the company has effectively used leverage
Indicate whether the statement is true or false
Focused cost leadership is observed when a product has the lowest cost ________.
A. across the product mix offered by a company B. across multiple product categories C. across the entire industry D. among a group of competitors E. within an industry segment