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Toko Toko
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Posts: 83
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5 years ago
AB Company sold and issued a $100,000, 10%, bond at 99. Therefore, the bond:
A) was sold at a premium because the stated interest rate was higher than the yield rate.
B) sold at a discount because the stated interest rate was lower than the market interest rate.
C) sold at a premium because the $1,000 accrued interest is added to the $100,000 face
amount.
D) was sold for $100,000 less $1,000 of accrued interest.
Textbook 
Intermediate Accounting, Volume 2

Intermediate Accounting, Volume 2


Edition: 5th
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wrote...
5 years ago
B
Toko Author
wrote...
5 years ago
Tremendous help, I just double-checked it with my friend Smiling Face with Open Mouth
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