Question: Smith & Sons, Inc., sold $1,100,000 face value, five percent coupon rate, four-year bonds, for an aggregate issue price of $1,088,000. Calculate the total interest

Smith & Sons, Inc., sold $1,100,000 face value, five percent coupon rate, four-year bonds, for an aggregate issue price of $1,088,000.

Calculate the total interest expense to be recorded by the company over the four-year life of the bonds.

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