Question: Please answer the following questions 9. Bright Cloud Inc. issued $250,000 of five-year, 7% bonds payable for $271,880 on January 1, 20Y5. The bonds will

Please answer the following questions 9. Bright Cloud Inc. issued $250,000

Please answer the following questions

9. Bright Cloud Inc. issued $250,000 of five-year, 7% bonds payable for $271,880 on January 1, 20Y5. The bonds will pay interest semiannually, beginning on June 30, 20Y5. At the time of issuance, the market rate was 5%. Prepare the journal entries to record 1) the issuance, 2) June 30 interest payment and premium amortization, and 3) retirement of the bonds for Bright Cloud Inc. Assume that the company uses the straight line method to account for the amortization. 1 . 2. 3

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