MetaB Co. issued ten-year 5% bonds with a face value of $2,000,000 on January 1,...
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MetaB Co. issued ten-year 5% bonds with a face value of $2,000,000 on January 1, 2019 when the market (effective) rate of interest was 5%. The bonds pay annual interest on December 31. The Company uses the effective interest method. The journal entry the Company made to record the interest payment on December 31, 2020 would have included a debit to interest expense of: $100,000 $150,000 None of the answer options is correct $50,000 $200,000
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