Question
Entries for Issuing and Calling Bonds; Loss Hoover Corp., a wholesaler of music equipment, issued $9,670,000 of 25-year, 13% callable bonds on March 1, 20Y2,
Entries for Issuing and Calling Bonds; Loss
Hoover Corp., a wholesaler of music equipment, issued $9,670,000 of 25-year, 13% callable bonds on March 1, 20Y2, at their face amount, with interest payable on March 1 and September 1. The fiscal year of the company is the calendar year.
20Y2 | |
Mar. 1 | Issued the bonds for cash at their face amount. |
Sept. 1 | Paid the interest on the bonds. |
20Y4 | |
Sept. 1 | Called the bond issue at 104, the rate provided in the bond indenture. (Omit entry for payment of interest.) |
If an amount box does not require an entry, leave it blank.
Journalize the entries to record the above selected transactions.
Issued the bonds for cash at their face amount.
20Y2 Mar. 1 | |||
Paid the interest on the bonds.
20Y2 Sept. 1 | |||
Called the bond issue at 104, the rate provided in the bond indenture. (Omit entry for payment of interest.)
20Y4 Sept. 1 | |||
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