The Smart Company sold $500,000 of 8 percent, 20-year bonds on April 1, 2011, at...
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The Smart Company sold $500,000 of 8 percent, 20-year bonds on April 1, 2011, at 105. The semiannual interest payment dates are March 31 and September 30. The market interest rate is 7.5 percent. The companys fiscal year ends September 30. Use the effective interest method to calculate the amortization. With regard to the bond interest payment on September 30, 2011:How much cash is paid in interest
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