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Untitled Document36 - premium on bonds payable account At...

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The carrying value will continue to decrease as the premium account's balance  decreases. When the bond matures, the premium account's balance will be zero  and the bond's carrying value will be the same as the bond's principal amount.  The premium amortized for the last payment should be the balance in the 
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Unformatted text preview: premium on bonds payable account. At maturity, the entry to record the principal repayment is: General Journal Date Account Title and Description Ref . Debit Credit July 1 Bonds Payable 10,000 Cash 10,000 Repay bond principal at maturity...
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