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Problem #2: Wentworth Corporation sold $3,000,000, 7%, 8 year bonds on January 1, 2022. The bonds were dated January 1, 2022, and pay interest
Problem #2: Wentworth Corporation sold $3,000,000, 7%, 8 year bonds on January 1, 2022. The bonds were dated January 1, 2022, and pay interest on January 1. The company uses straight-line amortization on bond premiums and discounts. Financial statements are prepared annually. a. Prepare all the necessary journal entries to record the issuance of the bonds and bond interest expense for 2022, assuming the bonds sold at Date 103. Account Titles and Explanation Ref Debit Credit b. Prepare the journal entries as in part (a) assuming that the bonds were sold at 99. Date Account Titles and Explanation Ref Debit Credit
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