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On January 1, 2019, Ellison Co. issued 3-year, 10%, $200,000 face value bonds. The bonds were issued at 95.0827, the interest payable semiannually on July
On January 1, 2019, Ellison Co. issued 3-year, 10%, $200,000 face value bonds. The bonds were issued at 95.0827, the interest payable semiannually on July 1 and January 1. The bonds were sold to yield 12%. On July 1, 2020 the company retire 60% of the bonds at 102. a) Complete the following table: Date Cash Paid Interest Expense Discount Amortization Carrying amount of bonds January 1, 2019 July 1, 2019 January 1, 2020 July 1, 2020 January 1, 2021 July 1, 2021 January 1, 2022 b) Journalize the required entries on the following dates January 1, 2019 July 1, 2019 December 31, 2019 - adjusting entry January 1, 2020 July 1, 2020 The payment of interest July 1, 2020 the retirement of 60% of the bonds at 102 December 31, 2020 adjusting entry
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