Kiwi Corporation issued at par $350,000, 9 percent bonds on December 31, 2011. Interest is paid annually
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Required:
1. Prepare the entry to recognize the issuance of the bonds.
2. Prepare the journal entry for December 31, 2012.
3. Prepare the journal entry to record repayment of the principal on December 31, 2013.
4. How would the interest expense for 2012 change if the bonds had been issued at a premium? Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Related Book For
Cornerstones of Financial and Managerial Accounting
ISBN: 978-1111879044
2nd edition
Authors: Rich, Jeff Jones, Dan Heitger, Maryanne Mowen, Don Hansen
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