Sycamore, Inc. purchased €100,000 618 percent bonds of Alvarado Industries on January 1, 2019, at a discount, paying €92,278. The bonds mature January 1, 2024, and yield 10 percent; interest is payable each July 1 and January 1. Sycamore has a business model whose objective is to hold assets in order to collect contractual cash flows and the contractual terms of the financial asset provides specified dates with regard to cash flows that are solely payments of principal and interest. On December 31, 2019, when the market rate of interest is 12%, and the fair value of the bonds is €89,934, Sycamore will record interest revenue off?

Answer rating: 100% (QA)

Interest revenue 9258 4614 4645 Date Cash Received Interest R... View the full answer