Question
(Entries for Bond TransactionsStraight-Line) Celine Dion Company issued $600,000 of 10%, 20-year bonds on January 1, 2020, at 102. Interest is payable semiannually on July
(Entries for Bond TransactionsStraight-Line) Celine Dion Company issued $600,000 of 10%, 20-year bonds on January 1, 2020, at 102. Interest is payable semiannually on July 1 and January 1. Dion Company uses the straight-line method of amortization for bond premium or discount.
A) Journalize the retirement of the bond at maturity
Assume the same information as Celine Dion Company, except that Celine Dion Company uses the effective-interest method of amortization for bond premium or discount. Assume an eff ective yield of 9.7705%.
B)Journalize the retirement of the bond at maturity
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