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Dobbs Company issues 5%, two-year bonds, on December 31, 2019, with a par value of $200,000 and semiannual interest payments. Use the following bond amortization
Dobbs Company issues 5%, two-year bonds, on December 31, 2019, with a par value of $200,000 and semiannual interest payments. Use the following bond amortization table and prepare journal entries to record (a) the issuance of bonds on December 31, 2019; (b) the first through fourth interest payments on each June 30 and December 31; and (c) the maturity of the bonds on December 31, 2021. Semiannual Period-End Unamortized Discount Carrying Value (0) 12/31/2019 ................... (1) 6/30/2020 ...... (2) 12/31/2020 ....... (3) 6/30/2021 .............. (4) 12/31/2021 $12,000 9,000 6,000 3,000 $188,000 191,000 194,000 197,000 200,000
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