A partial bond amortization schedule for Chiasson Corp. is provided below. Chiasson has a December 31 year
Question:
A partial bond amortization schedule for Chiasson Corp. is provided below. Chiasson has a December 31 year end.
a. Was the bond issued at a premium or discount?
b. Record the interest payment on July 1, 2021.
c. Record the adjusting entry on December 31, 2021.
d. Record the interest payment on January 1, 2022.
Transcribed Image Text:
Bond Semi-Annual Interest Period Interest Payment Jan. 1, 2021 July 1, 2021 Jan. 1, 2022 July 1, 2022 Interest Expense Amortization Amortized Cost $286,872 288,044 289,245 290,476 $6,000 6,000 6,000 $7,172 7,201 7,231 $1,172 1,201 1,231
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a The bond was issued at a discount The amortization ...View the full answer
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Accounting Principles Volume 2
ISBN: 978-1119502555
8th Canadian Edition
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
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