The Gorman Group issued $910,000 of 13% bonds on June 30, 2021, for $978,459. The bonds...

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The Gorman Group issued $910,000 of 13% bonds on June 30, 2021, for $978,459. The bonds were dated on June 30 and mature on June 30, 2041 (20 years). The market yield for bonds of similar risk and maturity is 12%. Interest is paid semiannually on December 31 and June 3O. Required: 1. to 3. Prepare the journal entries to record their issuance by The Gorman Group on June 30, 2021, interest on December 31, 2021 and interest on June 30, 2022 (at the effective rate). View transaction list Journal entry worksheet 1 2 3 > Record the issuance of the bond on June 30, 2021. Note: Enter debits before credits. Date General Journal Debit Credit June 30, 2021 2 3 Record the interest on December 31, 2021 (at the effective rate). Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2021 2 Record the interest on June 30, 2022 (at the effective rate). Note: Enter debits before credits. Date General Journal Debit Credit June 30, 2022 The Gorman Group issued $910,000 of 13% bonds on June 30, 2021, for $978,459. The bonds were dated on June 30 and mature on June 30, 2041 (20 years). The market yield for bonds of similar risk and maturity is 12%. Interest is paid semiannually on December 31 and June 3O. Required: 1. to 3. Prepare the journal entries to record their issuance by The Gorman Group on June 30, 2021, interest on December 31, 2021 and interest on June 30, 2022 (at the effective rate). View transaction list Journal entry worksheet 1 2 3 > Record the issuance of the bond on June 30, 2021. Note: Enter debits before credits. Date General Journal Debit Credit June 30, 2021 2 3 Record the interest on December 31, 2021 (at the effective rate). Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2021 2 Record the interest on June 30, 2022 (at the effective rate). Note: Enter debits before credits. Date General Journal Debit Credit June 30, 2022

Answer rating: 100% (QA)

Answer December 31 2021 amount interest rate total inter... View the full answer