Bonds payable have a face amount of $1,000,000 and a discount of $10,000.The face interest rate is 9 percent and the effective interest rate is 10 percent.If the annual interest payment is due today,what amount of interest expense should be recorded?
A)$100,000
B)$ 99,000
C)$ 90,000
D)$ 89,100

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The Answer of Bonds payable have a face amount of $1,000,000 and a discount of $10,000.The face interest rate is 9 percent and the effective interest rate is 10 percent.If the annual interest payment is due today,what amount of interest expense should be recorded?
A)$100,000
B)$ 99,000
C)$ 90,000
D)$ 89,100

Bonds Payable Have a Face Amount of $1,000,000 and a Discount