On January 1, 2025, Oriole Co. issued ten-year bonds with a face amount of $5000000 and a stated interest rate of 7% payable annually on January 1. The bonds were priced to yield 10%. Cash received from the sale of the bonds was Present value factors are as follows: At 7% At 10% Present value of 1 for 10 periods 0.508 0.386 Present value of an ordinary annuity of 1 for 10 periods 7.024 6.145 Cash received from the sale of the bonds was $4080750. $4850000. $4650000. $5000000.
On January 1, 2025, Oriole Co. issued ten-year bonds with a face amount of $5000000 and a stated interest rate of 7% payable annually on January 1. The bonds were priced to yield 10%. Cash received from the sale of the bonds was Present value factors are as follows: At 7% At 10% Present value of 1 for 10 periods 0.508 0.386 Present value of an ordinary annuity of 1 for 10 periods 7.024 6.145 Cash received from the sale of the bonds was $4080750. $4850000. $4650000. $5000000.
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 4EA: On January 1, 2018, Wawatosa Inc. issued 5-year bonds with a face value of $200,000 and a stated...
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Subject :- Accounting
On January 1, 2025, Oriole Co. issued ten-year bonds with a face amount of $5000000 and a stated interest rate of 7% payable annually on January 1. The
Present value factors are as follows: At 7% At 10%
Present value of 1 for 10 periods 0.508 0.386
Present value of an ordinary annuity of 1 for 10 periods 7.024 6.145
Cash received from the sale of the bonds was
$4080750.
$4850000.
$4650000.
$5000000.
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