Hill Corporation issued $3,000,000 of 7% bonds at 98 on January 2, 2019. Interest is paid...

 

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Hill Corporation issued $3,000,000 of 7% bonds at 98 on January 2, 2019. Interest is paid semiannually on June 30 and December 31. The bonds had a 10-year life from the date of issue, and the company uses the straight-line method of amortization. On March 31, 2022, Hill recalls the bonds at the call price of 108 plus accrued interest. Required: Prepare the journal entries to record the reacquisition (recall) of Hill's bonds. Hill Corporation issued $3,000,000 of 7% bonds at 98 on January 2, 2019. Interest is paid semiannually on June 30 and December 31. The bonds had a 10-year life from the date of issue, and the company uses the straight-line method of amortization. On March 31, 2022, Hill recalls the bonds at the call price of 108 plus accrued interest. Required: Prepare the journal entries to record the reacquisition (recall) of Hill's bonds.

Answer rating: 100% (QA)

To record the reacquisition recall of Hill Corporations bonds we need to make journal entries for th... View the full answer