BKK plus issues 3-year $50,000 of 6% bonds on January 1, 2023, due on January 1, 2027 with interest payable each July 1 and January 1. Date	Interest payment	Interest expense	Changes in bonds value	Carrying value
1/1/2023	47,617
1/7/2023	3,000	3,333	333	47,950
1/1/2024	3,000	3,356	356	48,306
1/7/2024	3,000	3,381	381	48,688
1/1/2025	3,000	3,408	408	49,096
1/7/2025	3,000	3,437	437	49,533
1/1/2026	3,000	3,467	467	50,000

5. Bonds payable reported on Financial Position Statement on December 31, 2024 will be

6. Which of the following is the incorrect journal entries to record the payment on July 1, 2023?

a. Debit Interest expense 3,333

b. Credit Cash 3,000

c. Credit Bonds payable 333

d. Credit Interest payable 3,000

7. If BKK calls the entire bonds at 101 and cancels it on May 1, 2024, which of the following is correct about the journal entries to record the bond retirement

a. Debit Bonds payable 48,306

b. Credit Cash 50,000

c. Debit Loss on extinguishment of debt 1,940

d. None is correct.