Question
Ritter Corporation issues $ 300,000.00 of 12% 10 Year bonds on January 1, 2012 at 102. Interest is payable semiannually on July 1 and January
Ritter Corporation issues $ 300,000.00 of 12% 10 Year bonds on January 1, 2012 at 102. Interest is payable semiannually on July 1 and January 1.
Record the transactions on January 1, 2012; July 1, 2012, December 1, 2012 and January 1 , 2013;
B) Show the Balance Sheet presentation of the Bonds at December 31, 2012;
C) Assume that on January 1, 2015, after paying the interest, Ritter Corporation calls bonds having a face value of $ 60,000.00. The call price is 101. Record the redemption of the bonds. D) Record the interest payment on July 1, 2015;
E) Again, how would you present the Bonds Payable on the Balance Sheet on July 1, 2015 ?
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