On January 1, 2016, North Company issued $2,000,000 of bonds with a stated rate of 10% that are due to mature December 31, 2025, and pay interest semiannually. The market rate of interest was 9% at the date of issuance. Prepare the journal entry for the sale of the bonds on January 1, 2016.
Answer to relevant QuestionsUse the information in RE14-6, except assume that Temple issues its bonds on March 1 at par, plus accrued interest. Prepare the journal entries to record the issuance of the bonds (adjust interest expense for the accrued ...On January 1,2016, Sanders Corporation purchased equipment having a fair value of $68,301.30 by issuing a non interest-bearing, $ 100,000, 4 -year note due December 31,2019. Required: Prepare the journal entries to record ...What two methods may a company use to amortize a premium or discount over the life of a bond issue? Briefly describe each method. Morgan Corporation issues 500 “packages” of securities for $180 per package. Each package includes 10 shares of $1 par value common stock and 2 shares of $50 par value preferred stock. The separate market value of the ...On January 2, 2016, Dekker Company grants each of its 15 new employees 200 restricted share units. Each of the time-vested restricted share units entitles the employee to receive one share of Dekker common stock if they ...
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