On January 1, 2013, KMR Co

question 25

Multiple Choice

On January 1, 2013, KMR Co. issued bonds with a face value of $100,000, a term of ten years, and a stated interest rate of 6%. The bonds were issued at 105, and interest is payable each December 31. KMR uses the straight-line method to amortize the bond discount. The carrying value of the bonds that would be reported on the December 31, 2016 balance sheet is:

• A)$102,000.
• B)$103,000.
• C)$102,500.
• D)$100,000.

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Definitions:

Plasma Membranes

A double-layer of lipids forming a barrier around the cell cytoplasm, regulating the entry and exit of materials.

Hyperpolarization

A state in which the membrane potential of a cell becomes more negative than its normal resting potential.

Blood pH

The measurement of acidity or alkalinity in the blood, essential for maintaining homeostasis and normal bodily function.

Respiratory Center

A region of the brain stem involved in the regulation of breathing rhythm and depth.