each company issued $800,000 of bonds in total. E 10-13 Kale Company issued $350,000 of 8%, 20-year bonds on January 1, 2017, at face value. Interest is payable annually on January 1 Instructions Prepare the journal entries to record the following events. (a) The issuance of the bonds (b) The accrual of interest on December 31, 2017 The (d) The redemption of the bonds at maturity, assuming interest for the last interest perio has been paid and recorded. E10-14 The situations presented here are independent of each other. Instructions h situation, prepare the appropriate journal entry for the redemptlo of the bon (a) Mikhail Corporation redeemed $140,000 face value, 9% bonds on ,ant 30, 2017 101. The carrying value of the bonds at the redemption date was $126,-00. The ba pay annual interest, and the interest payment due on April 30, 2017, has been na and recorded. Oldman, Inc., redeemed $ 170,000 face value, 12.5% bonds on June 30, 2017, at 98 carrying value of the bonds at the redemption date was $184,000. The bonds pay an interest, and the interest payment due on June 30, 2017, has been made and recor (b) 10-15 Sanchez, Inc. reports the following liabilities (in thousands) on its Decemlb 017, balance sheet and notes to the financial statements $4,263.9 Mortgage payable Operating leases $6,7 Accounts payable Accrued pension liability Unearned rent revenue Bonds payable Current portion of 1,115.2 1,058.1 1,961.2 Notes payable (due in 2020) Salaries and wages payable Notes payable (due in 2018) 1,992.2 Unused operating line of credit 3, mortgage payable Income taxes payable structions 265.2 Warranty liability-current Identify which of the above liabilities are likely current and which are likely lo List any items that do not fit in either category. Explain the reasoning for your Prepare the liabilities section of Sanchez's balance sheet as at December 31 0-16 Suppose McDonald's 2017 financial statements contain the following (in millions) Current assets 3,416.3 Interest expense S 473.2