Huston - Financial Accounting Fall 2020 Online Homework: HW Ch 9 Score: 0 of 1 pt 10 of 10 (4 T19-1 (similar to) Suppose Northern Airlines issued $80,000 of 11%, five-year bonds when the market interest rate is 22%. The market price of the bonds drops, and Southwest receives $54,072 when the bonds are issued. The transaction was recorded as follows: (Click the icon to view the transaction.) Northern's journal entries to record interest expense and amortize the bond discount in the first year follows: i (Click the icon to view the journal entries.) Begin by completing the income statement for 2018 Income Statement for 2018 Choose from any list or enter any number in the input fields and then click Check A 1 par remaining Clear A arch Save complete) HW Score: 38.52%, 3.85 of 10 pts Question Help At December 31, 2018, Northern's bond accounts appear as follows: i (Click the icon to view the accounts.) What would Northern Airlines' 2018 income statement and year-end balance sheet report for these bonds? neck Answer Elear All Check Answer h 9 10 of 10 (4 complete) of 11%, five-year bonds when the ice At December 31, 2018, Northern's bond A Click the icon to view the accounts 3 Transaction > Date Debit Credit 2018 Journal Entry Accounts and Explanation Cash Discount on Bonds Payable Bonds Payable To issue bonds at a discount 54,072 25.928 Jan 1 80,000 Print Done aber in the input fields and then click Check Answer Clear All V Ch 9 10 of 10 (4 complete) HW 1 Journal entries Debit Credit 5,948 1,548 Journal Entry Date Accounts and Explanation 2018 Interest Expense Jul 1 Discount on Bonds Payable Cash To pay semiannual interest and amortize bond discount Dec 31 Interest Expense Discount on Bonds Payable Intere lefayable Toegerus semiannual interest and amortize band discount 4.400 6.118 1.718 4,400 Print Done TESTAT