Deleau Equipment Ltd. issued 10% five-year bonds with a face value of $80 million on October 1,

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Deleau Equipment Ltd. issued 10% five-year bonds with a face value of $80 million on October 1, 2024. The bonds were issued at par and pay interest on March 31 and September 30 each year. Deleau’s year end is December 31.

Required

a. Prepare the journal entry for the issuance of the bonds.

b. Prepare the journal entry required at December 31, 2024, and the entries for the interest payments on March 31 and September 30, 2025.

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Understanding Financial Accounting

ISBN: 9781119715474

3rd Canadian Edition

Authors: Christopher D. Burnley

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Question Posted: Jan 31, 2023 04:44 AM

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Deleau Equipment Ltd. issued 10% five-year bonds with a face value of $80 million on October 1,

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a b On December 31 2024 Deleaus year end it is necessary to accrue i...View the full answer

Understanding Financial Accounting

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