On May 1, 2018, Kirmer Corporation purchased $906,000 of 14% bonds, interest payable on January 1 and July 1, for $854,100 plus accrued interest. The bonds mature on January 1, 2024. Amortization is recorded when interest is received by the straight-line method. (Assume bonds are available for sale.)

Prepare the journal entry for May 1, 2018. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
May 1, 2018

Answer rating: 100% (QA)

Note that next coupon will be paid on 1 July and the bond was ... View the full answer