Gonzalez Company acquired $141,000 of Walker Co., 8% bonds on May 1 at their face amount. Interest
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Question:
Gonzalez Company acquired $141,000 of Walker Co., 8% bonds on May 1 at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, Gonzalez Company sold $42,000 of the bonds for 96.
Journalize entries to record the following in Year 1:
For a compound transaction, if an amount box does not require an entry, leave it blank.
a. The initial acquisition of the bonds on May 1. May 1
b. The semiannual interest received on November 1. Nov. 1
c. The sale of the bonds on November 1. Nov. 1
d. The accrual of $840 interest on December 31. Dec. 31
Related Book For
Accounting
ISBN: 978-1337899451
27th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
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