Accounting for mortgages (Learning Objective 5) 10–15 min.

Venus, Corp., issued a $460,000, 8%, mortgage on January 1, 2014, to purchase warehouses.

Jan 1, 2014 Jun 30, 2014 Dec 31, 2014 Jun 30, 2015 Dec 31, 2015 Jun 30, 2016 Date Interest

$26,602 Payment Principal

$460,000 Loan Balance Requirements 1. Complete the amortization schedule for Venus, Corp., assuming payments are made semiannually. Round amounts to the nearest dollar.

2. Record the journal entries for

(a) issuance of mortgage on January 1, 2014, and

(b) the first semiannual payment on June 30, 2014.

AppendixLO1