Question Content Area

On the first day of the fiscal year, a company issues a $950,000, 8%, 5-year bond that pays semiannual interest of $38,000 ($950,000 x 8% 1/2), receiving cash of $884,171. Journalize the entry to record the issuance of the bonds.

If an amount box does not require an entry, leave it blank or enter "0".

	Bonds PayableCashInterest PayableNotes PayablePremium on Bonds Payable	- Select -	- Select -
	Bonds PayableDiscount on Bonds PayableInterest ExpenseInterest RevenueNotes Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest PayablePremium on Bonds Payable	- Select -	- Select -