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Sweet Co. sells $497,000 of 8% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of
Sweet Co. sells $497,000 of 8% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2023. The bonds yield 12%. Give entries through December 31, 2021. Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.) Prepare all of the relevant journal entries from the time of sale until December 31, 2021. (Assume that no reversing entries were made.) (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answers to O decimal places e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Debit Credit Date Account Titles and Explanation 3/1/20 Cash 441511 Discount on Bonds Payable 55489 Bonds Payable 497000 19/1/20 Interest Expense 26491 Discount on Bonds Paya 6611 Cash 19880 12/31/21 V Interest Expense 17295 Interest Payable 3/1/21 Interest Expense 8962 Interest Payable 17925 Discount on Bonds Paya 70071 Cash 19880 T9/1/20 Interest Expense 27308 Discount on Bonds Paya 7428 Cash 19880 12/31/21 V Interest Expense Interest Payable 18502
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