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Art Company issued 6%, 5 year bonds, with par value of $1,600,000, paying semiannual interest for $1,470,226. The annual market rate of interest on the date of issue was 8%. Assuming effective interest method of amortization, calculate the bond interest expense on the first interest payment date. Select one: A. $129,774 B. $117,618 C. $ 58,809 D. $ 48,000
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Art Company issued 6%, 5 year bonds, with par value of $1,600,000, paying semiannual interest for $1...
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