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A Izzy Corporation issued $400,000 of 10-year, 7% bonds on November 1, 1999 for $429,757. The bonds pay interest on Nov. 1 and May 1.
A Izzy Corporation issued $400,000 of 10-year, 7% bonds on November 1, 1999 for $429,757. The bonds pay interest on Nov. 1 and May 1. EFFECTIVE (MARKET RATE) = 6%. Use the effective interest method. Fiscal year ends May 1. a. Sale on Nov 1 for $429,757. b. May 1 entry Nov. 1 entry d. May 1 entry B Adjustment for fiscal year ending on July 1
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