On November 1,2015,Archangel Services Issued $200,000 of 10-Year Bonds with a Stated

question 44

Multiple Choice

On November 1,2015,Archangel Services issued $200,000 of 10-year bonds with a stated rate of 3%.The bonds were sold at par,and make semiannual payments on April 30 and October 31.At December 31,2015,Archangel made an adjusting entry to accrue interest at year-end.How much interest expense will be recorded at December 31,2015?

• A) $6,000
• B) $1,000
• C) $500
• D) $1,500

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Definitions:

Downsizing Strategy

Strategy to improve an organization's efficiency by reducing the workforce, redesigning the work, or changing the systems of the organization.

Senior Management

The highest level of management within an organization, responsible for strategic decision-making and overall leadership.

Interactional Justice

The interpersonal treatment employees receive during the implementation of the downsizing decision.

Downsizing Decision

The process undertaken by a company to reduce its workforce to improve efficiency or reduce costs.