What is the amount of interest expense to be recorded


A company issued $240,000 5-year, 8.00% bonds and received $242,733 in cash. The market rate of interest when the bonds were issued was 7.50%. What is the amount of interest expense to be recorded for the first annual interest period if the company uses the effective-interest method of amortization.

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Accounting Basics: What is the amount of interest expense to be recorded
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