BE 14-2

BRIEF EXERCISES BE14-1 Whiteside Corporation issues $500,000 of 9% bonds, due in 10 years, with interest payable semian- nually. At the time of issue, the market rate for such bonds is 10% Compute the issue price of the bonds. 3 BE14-1 Whiteside Corporation issues 5500,000 of 9% bonds, due in 10 years, with interest payable semian- nually. At the time of issue, the market rate for such bonds is 10%. Compute the issue price of the bonds. BE14-2 The Colson Company issued $300,000 of 10% bonds on January 1, 2014. The bonds are due January 1, 2020, with interesi payable each July 1 and January 1. The boods are issued at face value. Prepare Colson's jour nal entries for (a) the January issuance. (b) the July 1 interest payment and (c) the December 31 adjusting entry 3 4 BE14-3 Assume the bonds in BE14-2 were issued at 95. Prepare the journal entries for a Tanuary 1, biluly