On January 1, FLC borrows $192,000 from Citizen Bank. The loan is due in one year along with APR of 8% interest. The company is preparing its quarterly report for March 31. Which of the following best describes the necessary accrual for interest expense? A) $ 920 increase liabilities, increase interest expenses B) $ 920 decrease liabilities, decrease cash C) $1,840 decrease liabilities, decrease cash D) $1,840 increase liabilities, increase interest expenses K Corp. sells $700,000 of bonds to private investors. The bonds are due in five years, have a 4% coupon rate and interest is paid semiannually. The bonds were sold to yield 4%. What proceeds does K CORP receive from the investors? A) $600,000 B) $574,409 C) $640,289 D) $700,000