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Smart Workout Fitness Gym has $900,000 of 10-year bonds payable outstanding. These bonds had a discount of $54,000 at issuanc

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Answer #1

Total discount = $54000

Amortized till now = 54,000*5/10 = $27,000

Remaining = $27,000

Hence, carrying value of bonds = 900,000-27,000 = $873,000

Hence, the answer is C.

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