a. Were the bonds issued at a premium and or discount? b. Journalize the issuance of bond
Question:
a. Were the bonds issued at a premium and or discount?
b. Journalize the issuance of bond issue 1 and 2 on September 1, 2024, and May 1, 2023, respectively.
c. What is the contract interest rate for each bond issue?
d. What was the market interest rate at issuance for each bond?
e. Interest of how much is paid how often for each bond issue?
f. What is the term of each bond issue?g. Show how each of the bonds would appear on the balance sheet at December 31, 2028.
h. Calculate the total bond interest expense that would appear on the income statement for the year ended December 31. 2029i. Independent of (a) through (h), assume both bond issues were retired on December I, 2028, at 101. Record the entries,
Fundamental Accounting Principles Volume II
ISBN: 978-1260305838
16th Canadian edition
Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann