Huang Industries issued $600,000 of 6%, 8-year bonds at 107 on January 1, Year 1. Interest was payable semiannually. Through December 31, Year 4, Huang had amortized $18,975 of the bond premium.

On January 1, Year 5, Huang retires the bonds at 103.

Using the financial statement effects template, record the bond issuance and bond retirement transactions. Select "N/A" as your answer if a part of the accounting equation is not affected.

	Balance Sheet				Income Statement
	Cash		Noncash				Contributed		Earned								Net
Transaction	Asset	+	Assets	=	Liabilities	+	Capital	+	Capital				Revenue	-	Expenses	=	Income
Bonds issued at a premium.	Answer				Answer				Answer				Answer		Answer		Answer
	AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A				Bonds payable				AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A				AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A		AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A
					Answer
					AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A
Retirement of bonds issued.	Answer				Answer				Answer				Answer		Answer		Answer
	AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A				Bonds payable				AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A				AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A		AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A
					Answer
					AnswerCashBonds payableBond discountBond premiumRetained earningsInterest expenseGain on retirementLoss on retirementN/A