Perez Company issued $380,000, 7%, 10-year bonds on January 1, 2012, for $407,968. This price resulted in
Question:
Instructions
Prepare the journal entries (rounded to the nearest dollar) to record:
(a) The issuance of the bonds.
(b) The accrual of interest and the premium amortization on December 31, 2012.
(c) The payment of interest on January 1, 2013.
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2012 a Jan 1 Cash 407968 Bonds Payable 380000 Premium on Bonds Pa...View the full answer
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Related Book For
Financial Accounting Tools for business decision making
ISBN: 978-0470534779
6th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
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A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit
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