Alvin Jackson Co. issued $10,000 of bonds on January 1, 2021. The bonds pay interest semi-annually. This is a partial bond amortization schedule for the bonds. Payment Cash Effective interest Decrease in balance Outstanding balance 9,080 1 400 409 9 9,089 2 400 409 9 9,098 3 400 409 9 9,107 4 400 What is the interest expense on the bonds for the year ended December 31, 2022? A. $800. B. $819. C. $818. D. $809.

Alvin Jackson Co. issued $10,000 of bonds on January 1, 2021. The bonds pay interest semi-annually. This is a partial bond amortization schedule for the bonds. Payment Cash Effective interest Decrease in balance Outstanding balance 9,080 1 400 409 9 9,089 2 400 409 9 9,098 3 400 409 9 9,107 4 400 What is the interest expense on the bonds for the year ended December 31, 2022? A. $800. B. $819. C. $818. D. $809.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter9: Long-term Liabilities

Section: Chapter Questions

Problem 7MCQ

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