The Marx Company issued $82,000 of 12% bonds on April 1 of the current year at face value. The bonds pay interest semiannually on January 1 and July 1. The bonds are dated January 1, and mature in five years, on January 1. Determine the total interest expense related to these bonds for the current year ending on December 31.a. $8,580
b. $6,435
c. $4,290
d. $715

$7,380

Explanation:

The computation of the interest expense is shown below:

= Issued value of the bond × rate of interest × number of months ÷ total number of months in a year

= $82,000 × 12% × 9 months ÷ 12 months

= $7,380

Note: This is the answer but the same is not mentioned in the given options.

Basically we multiplied the issued value with the interest rate and the time period in months

whole quiz

1. the sum of all activities involved in getting high-quality products into the marketplace

2.operations

3. the principle of looking at the supply chain as a whole in order to improve the overall flow through the system.

4. produced; performed

5. activities producing tangible products, such as radios, newspapers, buses, and textbooks.

6. activities producing intangible and tangible products, such as entertainment, transportation, and education.

7.   customer focus

8. analyzing a competitor's products to identify desirable improvements

9. the systematic direction and control of the processes that transform resources into finished projects that create value for and provide benefits to consumers.

10. operation management.

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