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The following section is taken from Cheyenne's balance sheet at December 31, 2018. Current liabilities Interest payable Long-term liabilities $49,000 Bonds payable (8%, due January
The following section is taken from Cheyenne's balance sheet at December 31, 2018. Current liabilities Interest payable Long-term liabilities $49,000 Bonds payable (8%, due January 1, 590,000 2022) Interest is payable annually on January 1. The bonds are callable on any annual interest date. (a) Journalize the payment of the bond interest on January 1, 2019. (b) Assume that on January 1, 2019, after paying interest, Cheyenne calls bonds having a face value of $185,000. The call price is 104. Record the redemption of the (c) Prepare the adjusting entry on December 31, 2019, to accrue the interest on the remaining bonds. bonds
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