If $2,000,000 of 10% bonds are issued at 97, the amount of cash received from the...

Question

Question

If $2,000,000 of 10% bonds are issued at 97, the amount of cash received from the sale is $2,060,000 $1,940,000 $2,000,000 $2,100,000

Answer 1

Answer #1

Correct Answer is $1940000

Computation of Amount of Cash Received

= Bond Face Value X Issued Price

= $2000000X97%=$1940000

Answer 2

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