On April 1, Avalon Inc. issued 20-year, 3.5 percent bonds with a maturity value of $5,000,000. The

Question:

On April 1, Avalon Inc. issued 20-year, 3.5 percent bonds with a value of $5,000,000. The bonds sell at 98.00 and pay interest on September 30 and March 31. Avalon Inc. amortizes bond discounts by the straight-line method. Record
(a) The issuance of the bonds on April 1,
(b) The semi-annual interest payment on September 30,
(c) The interest accrual on December 31.
Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...