On March 1, 2012, WC Issued 10% Stated Interest Rate

question 50

Multiple Choice

On March 1, 2012, WC issued 10% stated interest rate, 10 year debentures dated January 1, 2012, in the face amount of $1,000,000, with interest payable on January 1 and July 1.The debentures were sold to yield 8% plus accrued interest.How much should WC debit to cash on March 1, 2012, if the bondholders receive their pro-rata share of coupon on that date?

• A)$901,967
• B)$903,003
• C)$1,152,573
• D)$1,135,927

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Definitions:

Conceiving a Child

The process by which a sperm fertilizes an egg, leading to the initiation of pregnancy.

Stigma

The portion of the carpel where pollen grains land during pollination (and before fertilization).

Style

The neck connecting the stigma to the ovary of a carpel.

Pollen Tube

In gymnosperms and flowering plants, a tube or extension that forms after germination of the pollen grain and through which male gametes (sperm cells) pass into the ovule.