Question
Dobbs Company issues 8%, two-year bonds, on December 31, 2015, with a par value of $97,000 and semiannual interest payments. Semiannual Period-End Unamortized Discount Carrying
| Dobbs Company issues 8%, two-year bonds, on December 31, 2015, with a par value of $97,000 and semiannual interest payments. |
| Semiannual Period-End | Unamortized Discount | Carrying Value | ||||||
| (0) | 12/31/2015 | $ | 5,940 | $ | 91,060 | |||
| (1) | 6/30/2016 | 4,455 | 92,545 | |||||
| (2) | 12/31/2016 | 2,970 | 94,030 | |||||
| (3) | 6/30/2017 | 1,485 | 95,515 | |||||
| (4) | 12/31/2017 | 0 | 97,000 |
| Use the above straight-line bond amortization table and prepare journal entries for the following. |
| Required: | |
| (a) | The issuance of bonds on December 31, 2015. |
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Accounting
Authors: Lew Edwards, John Medlin, Keryn Chalmers, Andreas Hellmann, Claire Beattie, Jodie Maxfield, John Hoggett
9th edition
1118608224, 1118608227, 730323994, 9780730323990, 730319172, 9780730319177, 978-1118608227
