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Mellilo Corporation issued $4,800,000 of 20-year, 9.5 percent bonds on July 1, 2018, at 98. Interest is due on June 30 and December 31 of
Mellilo Corporation issued $4,800,000 of 20-year, 9.5 percent bonds on July 1, 2018, at 98. Interest is due on June 30 and December 31 of each year, and all of the bonds in the issue mature on June 30, 2038. Mellilo's fiscal year ends on December 31.
I'm having trouble getting my math to work correctly. I've attached an screenshot of the table I need the numbers for. I've got the appropriate accounts necessary but my math just is not working!
Mellilo Corporation issued $4,800,000 of 20-year, 9.5 percent bonds on July 1, 2018, at 98. Interest is due on June 30 and December 31 of each year, and all of the bonds in the issue mature on June 30, 2038. Mellilo's fiscal year ends on December 31. a-c. Record the issuance of the bonds and entries to be passed post the issue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is not complete. No Credit Date July 01, 2018 1 General Journal Cash Discount on bonds payable Bonds payable Debit 4,704,000 96,000 4,800,000 2 Dec.31, 2018 Bond interest expense Discount on bonds payable Cash June 30, 2038 Bond interest expense Discount on bonds payable Cash June 30, 2038 Bonds payable 4,800,000 Cash 4,800,000
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