# Dickens Company is planning to issue \$510. 000 of \$%’6, 15- year bonds payable to borrow for a major expansion. The owner , Simon Dickens , ask’s

how do I get the interest expanse for the first year?

Dickens Company is planning to issue \$510. 000 of \$%’6, 15- year bonds payable to borrow for a major expansion.The owner , Simon Dickens , ask’s your advice on some related matters .Read the requirements .Requirement 2. Compute the price of the bonds if the bonds are issued at 92.The price of the \$ 5 10,000 bond issued at 92 is \$}469, 200Requirement 3 . How much will Dickens Company pay in interest each year ? How much will Dickens Company’sinterest expense be for the first year ?’ I For this scenario we are assuming that the \$510, 000 bonds are issued at92. Further assume that the straight – line method is used .”If the \$510, 000 bands are issued at 92 , Dickens Company will pay \$40,800 in interest each year .’Round your answers to the nearest whole dollar . “Assuming that the straight- line method is used , Dickens Company’s interest Expensewill be \$for the first year .

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