On January 1, 2019 company A issues a $1,500,000 of 10% bonds due in 10 years with

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On January 1, 2019 company A issues a $1,500,000 of 10% bonds due in 10 years with interest payable at year end annually. The current market rate of interest bonds of similar risk is 8%

A) What journal entry will company A record when issuing the bond?

B) What will the buyers pay for this bond issue?

Related Book For answer-question

Intermediate Accounting IFRS

ISBN: 9781119607519

4th Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

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Posted Date: Mar 12, 2024 03:16 AM

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On January 1, 2019 company A issues a $1,500,000 of 10% bonds due in 10 years with

Question:

Expert Answer:

Company As Accounting for the Bond Issuance A Journal Entry The journal entry for Company A to record the issuance of the bond will be Cash 170130244 ... View the full answer

Intermediate Accounting IFRS

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