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Pharoah Inc. issues $ 3 , 0 0 0 , 0 0 0 , 5 - year, 1 4 % bonds at 1 0 4
Pharoah Inc. issues $year, bonds at with interest payable annually on January The straightline method is
used to amortize bond premium.
a
Prepare the journal entry to record the sale of these bonds on January : Credit account titles are automatically indented
when amount is entered. Do not indent manually.
Date Account Titles and Explanation
Debit
Credit
Jan.
Premium on Bonds Payable
Cash
eTextbook and Media
List of Accounts
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