Use the Following Information for Questions

question 34

Multiple Choice

Use the following information for questions.
Patton Company purchased $400,000 of 10% bonds of Scott Co.on January 1, 2011, paying $376,100.The bonds mature January 1, 2021; interest is payable each July 1 and January 1.The discount of $23,900 provides an effective yield of 11%.Patton Company uses the effective-interest method and holds these bonds for collection.
-For the year ended December 31, 2011, Patton Company should report interest revenue from the Scott Co.bonds of:

• A)$42,392.
• B)$41,409.
• C)$41,368.
• D)$40,000.

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Definitions:

Proteins

Large, complex molecules essential for the structure, function, and regulation of the body's tissues and organs.

Lipids

A diverse group of naturally occurring molecules that include fats, waxes, and oil, serving as energy storage and structural components of cell membranes.

Carbohydrates

Organic compounds made of carbon, hydrogen, and oxygen, serving as a major energy source for the body.

Denature Enzymes

The process by which enzymes lose their functional shape and, therefore, their activity, often due to changes in temperature or pH.