Question
P 22-10B (LO4) 2. Carrying value, Sept. 30, Year 2: $579,600 BONDS ISSUED AT A DISCOUNT Brandon, Inc., issued the following bonds at a discount:
P 22-10B (LO4)
2. Carrying value, Sept. 30, Year 2: $579,600
BONDS ISSUED AT A DISCOUNT Brandon, Inc., issued the following bonds at a discount:
REQUIRED
1. Prepare journal entries for:
(a) Issuance of the bonds at a discount.
(b) Interest payment and discount amortization on the bonds on September 30, 20-1.
(c) Year-end adjustment on the bonds for 20-1.
(d) Reversing entry for the beginning of 20-2.
(e) Interest payments and discount amortization on the bonds for 20-2 (March 31 and September 30).
2. Calculate the carrying value of the bonds on September 30, 20-2.
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