Question
Outlandish Company issued a $100,000, 4%, 10-year bond payable at 95 on January 1, 2018. Interest is paid semiannually on January 1 and July 1.Read
Outlandish
Company issued a
$100,000,
4%,
10-year
bond payable at
95
on January 1,
2018.
Interest is paid semiannually on January 1 and July 1.Read the requirements
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. Requirement 1. Journalize the issuance of the bond payable on January 1,
2018.
(Record debits first, then credits. Select explanations on the last line of the journal entry.)
| Date | Accounts and Explanation | Debit | Credit | ||
| 2018 |
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Requirement 2. Journalize the payment of semiannual interest and amortization of the bond discount or premium on July 1,
2018.
(Assume bonds payable are amortized using the straight-line amortization method. Record debits first, then credits. Select explanations on the last line of the journal entry. Round your answers to the nearest whole dollar.)
| Date | Accounts and Explanation | Debit | Credit | ||
| 2018 |
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| Jul. 1 |
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Choose from any list or enter any number in the input fields and then continue to the next question.
| . | Journalize the issuance of the bond payable on January 1, 2018. |
| 2. | Journalize the payment of semiannual interest and amortization of the bond discount or premium on July 1, 2018. |
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