Question

On January 1, a company purchased 3%, 20-year corporate bonds for $69,033,776 as an investment. The bonds have a face amount of $80 million and are priced to yield 4%. Interest is paid semiannually. Prepare the journal entry to record revenue at the effective interest rate on December 31, the second interest payment date.



$1.99
Sales10
Views627
Comments0
  • CreatedJuly 05, 2013
  • Files Included
Post your question
5000