On January 1, 2015, Carter Sales Issued $15,000 in Bonds

question 23

Multiple Choice

On January 1, 2015, Carter Sales issued $15,000 in bonds for $14,700. They were 6-year bonds with a stated rate of 9%, and pay semiannual interest. Carter Sales uses the straight-line method to amortize the Bond Discount. Immediately after issue of the bonds, the ledger balances appeared as follows: After the second interest payment on December 31, 2015, what will be the balance in the Discount account?

• A)debit of $275
• B)debit of $350
• C)debit of $250
• D)credit of 300

---

Definitions:

Ingroup Bias

The inclination to prefer individuals from one's own group rather than from other groups.

Cohesive

Characterized by or causing unity and togetherness among individuals or elements in a group.

Social Facilitation

The tendency for people to perform differently, often better, when in the presence of others than when alone.

Dominant Response

The reaction that is most likely to be exhibited by an individual in a given situation due to its strength or frequency of reinforcement.