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CALCULATOR FULL SCREEN PRINTER VERSION BACK Problem 17-2 On January 1, 2017, Tamarisk Company purchased $250,000, 6% bonds of Aguirre Co. for $229,722. The bonds

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CALCULATOR FULL SCREEN PRINTER VERSION BACK Problem 17-2 On January 1, 2017, Tamarisk Company purchased $250,000, 6% bonds of Aguirre Co. for $229,722. The bonds were purchased to yield 8% interest. Interest is payable semiannually on July 1 and January 1. The bonds mature on January 1, 2022. Tamarisk Company uses the effective interest method to amortize discount or premium. On Janua 2019, Tamarisk Company sold the bonds for $231,233 after receiving interest to meet its liquidity needs. Prepare the journal entry to record the purchase of bonds on January 1. Assume that the bonds are classified as available-for-sale. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the accountles and enter o for the amounts.) Debit Credit Date Account Titles and Explanation Jan. 1, 2017 SHOW LIST OF ACCOUNTS LINK TO TEXT CALCUL Prepare the amortization schedule for the bonds. (Round answers to o decimal places, e.g. 1,250.) Schedule of Interest Revenue and Bond Discount Amortization Effective-Interest Method Bonds Purchased to Yield Interest Receivable Bond Or Interest Discount Cash Received Revenue Amortization Carrying Amount of Bonds Date 1/1/17 7/1/17 1/1/18 7/1/18 1/1/19 7/1/19 1/1/20 7/1/20 1/1/21 7/1/21 1/1/22 URCES 1/1/22 Total LINK TO TEXT by Study (c) (d) suary 1, 2017 Prepare the journal entries to record the semiannual interest (1) July 1, 2017, and (2) December 31, 2017 If the fair value of Aguirre bonds is $233,233 on December 312015, prepare the c a s ting entry. Assume the fall value adjustment balance is a debit of $3,679.) Prepare the journal entry to record the sale of the bonds on January 1, 2019 (e) (Round answers to decimal places 02500. Credit account the automatically indented when amount is steed. Do not ideat manually. Inntry required, select "No Entry for the account titles and enter for the amounts) Account Titles and Explanation No Date (0 (1) July 1, 2017 (e) Prepare the journal entry to record the sale of the bonds on January 1, 2019. (Round answers to 0 decimal places, e.g. 2,500. Credit account titles are automatically indented when amount is entered. Do required, select "No Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit No. Date (0 (1) July 1, 2017 (2) Dec 31, 2017 (d) Dec 31, 2018 (e) Jan 1, 2019

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