Question
XYZ Company acquires 80, 10%, 5 year, 1,000 Wynn bonds on January 1, 2017 for 80,000. Assume Wynn pays interest each January 1. The journal
XYZ Company acquires 80, 10%, 5 year, 1,000 Wynn bonds on January 1, 2017 for 80,000. Assume Wynn pays interest each January 1. The journal entry at December 31, 2017 would include a debit to
a. Interest Revenue for 4,000.
b. Interest Expense for 8,000.
c. Interest Revenue for 8,000.
d. Interest Receivable for 8,000.
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Intermediate Accounting principles and analysis
Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso
2nd Edition
471737933, 978-0471737933
