ch 11

Thomson Co. produces and distributes semiconductors for use by computer manufacturers. Thomson issued $1,200,000 of 10-year, 12% bonds on May 1 of the current year at face value, with interest payable on May 1 and November 1. The fiscal year of the company is the calendar year Journalize the entries to record the following selected transactions for the current year. Refer to the Chart of Accounts for exact wording of account titles May 1 Issued the bonds for cash at their face amount Nov 1 Paid the interest on the bonds. Recorded accrued interest for two months Dec 31