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Just need help on the last part: On January 1, 2025, Hi and Lois Company purchased 12% bonds, having a maturity value of $300,000 for
Just need help on the last part:
On January 1, 2025, Hi and Lois Company purchased 12% bonds, having a maturity value of $300,000 for $322,744.44. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2025, and mature January 1, 2030, with interest received on January 1 of each year. Hi and Lois Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified in the held-to-maturity category.
Prepare the journal entry at the date of the bond purchase. (List debit entry before credit entry. Credit account titles ore outomatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter O for the amounts. Round answers to 2 decimal places, eg. 1,225.25.) Prepare a bond amortization schodule. (Round answers to 2 decimol places, es, 1,225.25. Prepare the journal entry to record the interest revenue and the amortization at December 31, 2025. (List all debit entries before credit entries. Credit account tities are autamatically indented when amount is entered, Do not indent manually, If no entry is required, select "No Entry" for the occount tities and enter O for the amounts. Round answers to 2 decimal ploces, e.g. 1,225.25
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