ACC 112 Project 1D Following are independent situations:

Nicholas Ram Corporation have a $2,400,000 "bond issue" dated March 1, 2016 due in 15 years with an annual interest rate of 10%. Interest is payable March 1 and September 1. On August 1, 2016, the bond was sold for $2,513,750 plus accrued interest. Using the straight-line method, prepare the general journal entries for each of the following:

a)		The issuance of the bond on August 1, 2016.
b)		Payment of the semi-annual interest and the amortization of the premium on September 1, 2016.
c)		Accrual of the interest and the amortization of the premium on December 31, 2016.
d)		Payment of the semi-annual interest and the amortization of the premium on March 1, 2017.

(Credit account titles are automatically indented when the amount is entered. Do not indent manually. Do not use dollar signs ($) when entering amounts. To see comma-formatted numbers reflected in your final answers, you must enter your answers with commas. Round answers to 2 decimal places, e.g. 5,275.25.)

Stephanie Ram Corporation have a $960,000 "bond issue" dated February 1, 2016 due in 10 years with an annual interest rate of 9%. Interest is payable February 1 and August 1. On April 1, 2016, the bond was sold for $883,300 plus accrued interest. Using the straight-line method, prepare the general journal entries for each of the following:

a)		The issuance of the bond on April 1, 2016.
b)		Payment of the semi-annual interest and the amortization of the discount on August 1, 2016.
c)		Accrual of the interest and the amortization of the discount on December 31, 2016.
d)		Payment of the semi-annual interest and the amortization of the discount on February 1, 2017.

(Credit account titles are automatically indented when the amount is entered. Do not indent manually. Do not use dollar signs ($) when entering amounts. To see comma-formatted numbers reflected in your final answers, you must enter your answers with commas. Round answers to 2 decimal places, e.g. 5,275.25.)