Question
On March 1, 2020, Uncle Bobbys Bookstore issued $10,000,000 of 8% bonds. Interest is payable semi-annually on September 1 and March 1. The bonds mature
On March 1, 2020, Uncle Bobbys Bookstore issued $10,000,000 of 8% bonds. Interest is payable semi-annually on September 1 and March 1. The bonds mature in 5 years. Bonds of similar risk were yielding 10% in early 2020. Prepare the amortization schedule. Provide the journal entries for March 1, 2020, September 1, 2020, March 1, 2021 and March 1, 2025. On June 1, 2020, Michelles Maple Syrup Company issued $8,000,000 of 10% bonds. Interest is payable semi-annually on December 1 and June 1. The bonds mature in 4 years. Bonds of similar risk were yielding 8% in early 2020. Prepare the amortization schedule. Provide the journal entries for December 1, 2020, June 1, 2021, December 1, 2021 and June 1, 2024
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