Ryan Company purchased a building on January 1, 2021, for $250,000. In addition, during 2021 the following costs related to the building have been incurred: Utilities $ 12,000 Property tax 4,000 Expansion of the building 53,000 New air-conditioning
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On January 1, a company issued and sold a $407,000, 8%, 10-year bond payable, and received proceeds of $402,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount.
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