A Company Has an Investment in 9% Bonds with a Par

question 129

Multiple Choice

A company has an investment in 9% bonds with a par value of $100,000 that pay interest on October 1 and April 1. The amount of interest accrued on December 31 (the company's year-end) would be:

• A) $9,000.
• B) $1,500.
• C) $2,250.
• D) $750.
• E) $4,500.

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Definitions:

Northern Plains

A vast geographical area in the United States known for its flat terrain, grasslands, and significant historical and environmental importance.

Trade

The process of purchasing, selling, or trading goods and services among individuals or nations.

Europeans

The inhabitants of Europe or individuals of European descent.

Horses

Domesticated mammals known for their speed, strength, and ability to be ridden, used historically for transportation, work, and military purposes.