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Drave Design Layout References Calibria 11 AA 22 View 9 02) Google Inc. issued 10-year bonds with a 6% coupon rate and interest to be
Drave Design Layout References Calibria 11 AA 22 View 9 02) Google Inc. issued 10-year bonds with a 6% coupon rate and interest to be paid annually. The face value of the bonds was $5,000,000 and the effective interest rate at the time the bonds were issued was 7%. The bands were issued on January 1, 2018 at 96 and have been amortized uning the effective interest method through December 31, 2019. At year-end 2019 (after amortizing for 12/31/19) there was a $130,000 balance in the bond dacount account. On June 30, 2020, Google Inc. retired all the bonds by exercising the call feature. The call price was 104 Required: Prepare the journal entry for the call of the bonds on June 30, 2020. Remember to amortize the discount and update the book value of the bonds for the half-year prior to retirement) (16 points) Type your answer here or write it on a separate page
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