Company issued $ 7 1 0 , 1 0 0 par value, 5 - year, 4 %

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Question:

Company issued $

710, 100

par

value,

5 -

year,

4 %

bonds on April

30, 2018 .

The bonds are dated January

1, 2018,

and pay interest semiannually on June

30

and December

31 .

The bonds are sold at $

713, 548,

including accrued

interest, because they are sold between interest dates.

Requirement

Prepare the journal entries required to issue the bonds on April

30, 2018,

and record the first interest payment on June

30, 2018 .

The market rate of interest on the date of sale of the bonds was

5 % .

Related Book For answer-question

Intermediate accounting

ISBN: 978-0077647094

7th edition

Authors: J. David Spiceland, James Sepe, Mark Nelson

See More Books

Posted Date: May 07, 2024 04:13 AM

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Company issued $ 7 1 0 , 1 0 0 par value, 5 - year, 4 %

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To prepare the journal entries for issuing the bonds on April 30 2018 and recording the first intere... View the full answer

Intermediate accounting

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