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Legacy issues $730,000 of 70%, four-year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31. They are issued at
Legacy issues $730,000 of 70%, four-year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31. They are issued at $659,199 and their market rate is 10% at the issue date. Required: 1. Prepare the January 1, 2017, journal entry to record the bonds' issuance. View transaction list Journal entry worksheet Record the issue of bonds with a par value of $730,000 cash on January 1, 2017 at an issue price of $659,199 Note: Enter debits before credits. Date General Journal Debit Credit Jan 01, 2017 Required information [The following information applies to the questions displayed below.] Legacy issues $730,000 of 70%, four-year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31. They are issued at $659,199 and their market rate is 10% at the issue date. 2. Determine the total bond interest expense to be recognized over the bonds' life. Total bond interest expense over life of bonds Amount repaid: payments of Par value at maturity Total repaid Less amount borrowed Total bond interest expense Legacy issues $730,000 of 70%, four-year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31, They are issued at $659,199 and their market rate is 10% at the issue date 4. Prepare the journal entries to record the first two interest payments View transaction list Journal entry worksheet 2 Record the interest payment and amortization on June 30, 2017 Note: Enter debits before credits. Date General Journal Debit Credit Jun 30, 2017 Legacy issues $730,000 of 70%, four-year bonds dated January 1, 2017, that pay interest semiannually on June 30 and December 31, They are issued at $659,199 and their market rate is 10% at the issue date 4. Prepare the journal entries to record the first two interest payments View transaction list Journal entry worksheet 2 Record the interest payment and amortization on December 31, 2017. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31, 2017
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