Problem 14-6 (Algo) Issuer and investor; straight line method; adjusting entries [L014-2. Appendix 14A] On April 1, 2021, Western Communications, Inc., Insued 12% bonds, dated March 1, 2021, with foce amount of $31 million. The bonds sold for $30.3 million and mature on February 28, 2024. Interest is paid semiannually on August 31 and February 28. Stillworth Corporation acquired $31,000 of the bonds os a long-term investment. The fiscal years of both firms end December 31, and both firms use the straight line method Required: 1. Prepare the journal entries to record (o) issuance of the bonds by Western and (b) Stillworth's investment on April 1, 2021. 2. Prepare the journal entries by both firms to record all subsequent events related to the bonds through maturity Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Western Reg 2 Stillworth Prepare the Journal entries to record (a) issuance of the bonds by Western and (b) Stillworth's investment on April 1, 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.) View transaction lit View journal entry work Credit NO 1 Date April 01, 2021 General Journal Cash Discount on bonds pays Bonds payable Debit 30.300.000 700.000 31,000,000 Problem 14-6 (Algo) Issuer and investor, straight-line method; adjusting entries [LO14-2, Appendix 14A] On April 1, 2021. Western Communications, Inc., issued 12% bonds, dated March 1, 2021, with face amount of $31 million. The bonds sold for $30.3 million and mature on February 28, 2024. Interest is paid semiannually on August 31 and February 28. Stillworth Corporation acquired $31000 of the bonds as a long term investment. The fiscal years of both firms end December 31, and both firms use the straight-line method. Required: 1. Prepare the journal entries to record (s) issuance of the bonds by Western and (b) Stillworth's investment on April 1, 2021 2. Prepare the journal entries by both firms to record all subsequent events related to the bonds through maturity. Complete this question by entering your answers in the tabs below. Reg 1 La Western Reg 2 Stillworth Prepare the journal entries for Western Communications, Inc., to record all subsequent events related to the bonds through maturity. (if no entry is required for a transaction/event, select "No Soumal entry required in the first account field. Enter your answers in whole dollars.) View transaction list Journal entry worksheet 5 2 3 6 7 9 B 10 sold for $30.3 million and mature on February 28, 2024. Interest is paid semiannually on August 31 and February 28. Stillworth Corporation acquired $31,000 of the bonds as a long-term investment. The fiscal years of both firms end December 31, and both firms use the straight-line method. Required: 1. Prepare the journal entries to record (a) issuance of the bonds by Western and (b) Sullworth's investment on April 1, 2021 2. Prepare the journal entries by both firms to record all subsequent events related to the bonds through maturity. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Shillworth Reg 2 Western Prepare the journal entries for Stillworth Corporation to record all subsequent events related to the bonds through maturity. (It no entry is required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in whole dollars.) View transaction lint Journal entry worksheet 1 2 3 5 6 7 8 9 10 > Record interest revenue for Stillworth Corporation, Note Ende
