A local accounting firm, issues $2,000,000 of 10-year, 8% bonds dated January 1, 2020. Interest is payable semi-annually on January 1 and July 1 each year. The proceeds realized from the issue were the $1,801,367 sales price less the $20,000 fee charged by Mind the GAAP's investment bank. Mind the GAAP's fiscal year-end is December 31. 

What would Mind the GAAP debit to interest expense on July 1, 2020 (subsequent measurement)? 

ENTER A NUMBER ONLY. Do not use $, commas, or +/- in your answer. 

Please do not round intermediary calculations. Round final answer to nearest dollar

Answer rating: 100% (QA)

Solution To calculate the debit to interest expense on July 1 2020 we need to determine the interest ... View the full answer