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34) Benton Company issues $10,000,000 of 10-year, 9% bonds on
March 1, 2007, at 97 plus accrued interest. The bonds are dated
January 1, 2007, and pay interest on June 30 and December 31.
What is the total cash received on the issue date?
35) Limeway Company issues $5,000,000, 6%, 5-year bonds dated
January 1, 2007, on January 1, 2007. The bonds pay interest
semiannually on June 30 and December 31. The bonds are issued to
yield 5%. What are the proceeds from the bond issue?
36) A company issues $20,000,000, 7.8%, 20-year bonds to yield 8%
on January 1, 2007. Interest is paid on June 30 and December 31.
The proceeds from the bonds are $19,604,145. Using effective-
interest amortization, how much interest expense will be recognized
in 2007?
37) Which of the following is not a characteristic of a defined-
contribution pension plan?
38) In accounting for a defined-benefit pension plan39) The interest
on the projected benefit obligation component of pension expense