Delta, Corp. issued 6%, five-year bonds payable with a maturity value of $5,000 on January 1, 2014.

Question:

Delta, Corp. issued 6%, five-year bonds payable with a maturity value of $5,000 on January 1, 2014. Journalize the following transactions and include an explanation for each entry. The market rate of interest equalled the stated rate at the date of issuance.

a. Issuance of the bonds payable at par on January 1, 2014.

b. Payment of semiannual interest on July 1, 2014.

c. Payment of the bonds payable at maturity. (Give the date.)

Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...