Question
On January 1, 2017, Buffalo Corporation issued $580,000 of 9% bonds, due in 10 years. The bonds were issued for $619,414, and pay interest each
On January 1, 2017, Buffalo Corporation issued $580,000 of 9% bonds, due in 10 years. The bonds were issued for $619,414, and pay interest each July 1 and January 1. The effective-interest rate is 8%. Prepare the companys journal entries for :
(a) the January 1 issuance, (b) the July 1 interest payment, and (c) the December 31 adjusting entry.
Buffalo uses the effective-interest method.
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Portfolio Of Marketing Audits Company Self Assessment Audits
Authors: David Crosby
1st Edition
1902433157, 978-1902433158
