Bonds with Annual Interest Payments} annually on December 31. The principal and the final interest payment are
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Bonds with Annual Interest Payments} annually on December 31. The principal and the final interest payment are due on December 31, 2020.
\section*{Required:}
1. Prepare the entry to recognize the issuance of the bonds.
2. Prepare the journal entry for December 31, 2019.
3. Prepare the journal entry to record repayment of the principal on December 31, 2020.
4. CONCEPTUAL CONNECTION How would the interest expense for 2019 change if the bonds had been issued at a premium?
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Related Book For
Cornerstones Of Financial Accounting
ISBN: 9780176707125
2nd Canadian Edition
Authors: Jay Rich, Jefferson Jones, Maryanne Mowen, Don Hansen, Donald Jones, Ralph Tassone
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