The fiscal year ends December 31 for Lake Hamilton Development. To provide funding for its...
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The fiscal year ends December 31 for Lake Hamilton Development. To provide funding for its Moonlight Bay project LHD issued 5% bonds with a face amount of S650.000 on November 1, 2016 The bonds sold for $574 879, a pr to y eld the market rate of 6%. The bonds mature October 31, 2036 20 years Interest is paid semiannually on April 30 and October 31 Required 1. What amount of interest expense related to the bonds will LHD report in its income statement for the year ending December 31, 2016 expense 2. What amount(s) related to the bonds will LHD report in its balance sheet at December 31, 2016? Bonds payable Interest payable 3. What amount of interest expense related to the bonds will LHD report in its income statement for the year ending December 31, 20177 nterest expense 4. What amountis) related to the bonds wil LHD report in its balance sheet at December 31, 2017
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