Question
Colon Company issued a 3-year 12% bond with face amount of P2,000,000. Interest is payable semiannually April 1 and October 1. The bonds were issued
Colon Company issued a 3-year 12% bond with face amount of P2,000,000. Interest is payable semiannually April 1 and October 1.
The bonds were issued on April 1, 2020 for P2,101,520 which represents an effective interest cost of 10% per year.
Required:
a. Prepare an amortization table using the effective interest method.
b. Prepare journal entries for 2020 and 2021.
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Energy Audit Of Building Systems An Engineering Approach
Authors: Moncef Krarti
3rd Edition
0367820463, 978-0367820466
