How much king corporation should increase the carrying value


On January 1, 2013, King Corporation paid $705,186 to acquire 10% bonds with a face value of $750,000. The discount of $44,814 provides an effective yeld of 11%. King Corporation uses the effective-interest method and plans to hold these bonds to maturity. On July 1, 2013,how much King Corporation should increase the carrying value of these bonds by ?

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Accounting Basics: How much king corporation should increase the carrying value
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