Report as interest expense


On January 1, 2001, Moon Co. sold $500,000 of its 10-year, 10% bonds for $450,650. Interest is payable semiannually on January 1 and July 1. Using the effective interest method, what amount should Moon report as interest expense for the six months ended June 30, 2001?

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Accounting Basics: Report as interest expense
Reference No:- TGS052366

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