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On January 1 , when the market interest rate was 8 percent, Seton Corporation completed a $160,000,7 percent bond issue for $149,265. The bonds pay
On January 1 , when the market interest rate was 8 percent, Seton Corporation completed a $160,000,7 percent bond issue for $149,265. The bonds pay interest each December 31 and mature in 10 years. Assume Seton Corporation uses the effective-interest method to amortize the bond discount. :10-15 (Algo) Part 1 and 2 Required: \& 2. Prepare the required journal entries to record the bond issuance and the first interest payment on December 31 . (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar.)
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