Company Berkshire Hathaway Inc. issued 2,000 bonds with a face value of $1,000 each and a coupon
Fantastic news! We've Found the answer you've been seeking!
Question:
Company Berkshire Hathaway Inc. issued 2,000 bonds with a face value of $1,000 each and a coupon rate of 6%. The bonds pay interest semi-annually, and the market interest rate is 5%. Calculate the total proceeds from the issuance of bonds and prepare the journal entry to record the issuance. Discuss the characteristics of bonds and their significance in long-term financing.
Posted Date: