On April 1, 2020, Riverbed Corp. sold 12,000 of its $900 face value, 15-year, 8% bonds at 99. Interest payment dates are April 1 and October 1. The company follows ASPE and uses the straight-line method of bond discount amortization. On March 1, 2021, Riverbed extinguished 3,000 of the bonds by issuing 90,000 shares. At this time, the accrued interest was paid in cash to the bondholders whose bonds were being extinguished. In a separate transaction on March 1, 2021, 120,000 of the companys shares sold for $32 per share.

Note: The solution numbers and titles that are highlighted in red are correct answers any box with no fill is currently incorrect

- Your answer is partially correct. Prepare Riverbed Corp.s journal entry to record the payment of the semi-annual interest on October 1, 2020. (Credit account titles are automatically indented when the amount Debit Credit Date Account Titles and Explanation 10/1/20 Interest Expense 4320 Bonds Payable 3600 Cash 720 e Textbook and Media List of Accounts Your answer is partially correct. Prepare Riverbed Corp's journal entry to record the accrual of the interest expense on December 31, 2020. (Credit account titles are automatically indented when the amount is Debit Credit Date Account Titles and Explanation 12/31/20 Interest Expense 2088 Bonds Payable 1800 Interest Payable 208B e Textbook and Media List of Accounts - Your answer is partially correct. Prepare Riverbed Corp.s journal entries to record the extinguishment of 3,000 bonds by the issuance of common shares (no reversing entries are made) on March 1, 2021.( Debit Credit Date Account Titles and Explanation 3/1/21 Cash Interest Expense 90000 (To record payment of interest to bondholders) 3/1/21 Bonds Payable 2700000 Loss on Redemption of Bonds 2880000 Common Shares (To record extinguishment of the bonds)