E10-14 (Supplement 10A) Recording the Effects of a Discount Bond Issue and First Interest Payment and Preparing a Discount Amortization Schedule (Straight-Line Amortization) [LO 10-S1]

[The following information applies to the questions displayed below.]

E10-14 (Supplement 10A) Recording the Effects of a Discount Bond Issue and First Interest Payment and Preparing a Discount Amortization Schedule (Straight-Line Amortization) [LO 10-S1]

On January 1, when the market interest rate was 10 percent, Seton Corporation completed a $240,000, 8 percent bond issue for $210,496. The bonds pay interest each December 31 and mature in 10 years. Seton amortizes the bond discount using the straight-line method.

References

E10-14 (Supplement 10A) Recording the Effects of a Discount Bond Issue and First Interest Payment and Preparing a Discount Amortization Schedule (Straight-Line Amortization) [LO 10-s The following Informanion applies to the questions aisplayed below On January 1, when the market interest rate was 10 percent Seton Corporation completed a $240,000, 8 percent bond issue for $210,496. The boncs pay interest each December 31 and msture in 10 years. Seton amotizes the bond discount using the straight-line method References Section Break E10-14 (Supplement 10A) Recording the Etfects of & Discount Bond Issue and First Interest Payment and Preparing a Discount Amortization Schedule (Straight-Line Amoruzaton) ILO 10-ST