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Dixon Inc. issued bonds with a $400,000 face value, 8% interest rate, and a 6-year term on July 1,2018 and received $430,000. Interest is payable
Dixon Inc. issued bonds with a $400,000 face value, 8% interest rate, and a 6-year term on July 1,2018 and received $430,000. Interest is payable annually. The premium is amortized using the straight-line method. 1. Prepare the amortization table, assuming straightline amortization 2. Journalize the Issuance of bonds on July 1,2018 3. Journalize the payment of interest and amortization of premium on June 30,2019 4. Prepare the Bonds Payable section of the balance sheet as of litk 1 in10 $0 $0 $0 Part 283 Date Account Title Debit Credit Jul. 1 To record the issuance of bonds at a premiun Part 4 Balance Sheet Presentation As of Bonds Payable July 12018 June 302019 Add: Premium on Bonds Payable Carrying (Book) Value
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