Chp 10 JE journal entries

12 12 yr 6000 100000 6000 bond interest expense 6000

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Unformatted text preview: 10yr bond at face value Bond Interest Expense 6,000 Cash Paid semiannual interest on the $100,000 100,000*.12 * 1/2 yr =6,000 100,000 6,000 Bond Interest expense 6,000 Bond Interest payable To recognize expense for the 6 mths July to Dec 6,000 Bond Interest Payable Cash Paid semiannual bond interest 6,000 6,000 Bonds Payable 100,000 Cash Re[red the $100,000, 10 yr, 12% bonds 100,000 Bonds Payable 100,000 Loss on Bond Re[rement 10,000 Cash 110, 000 To re[re $100,000 of bonds at a call price of 110 Accoun5ng for Bonds Issued at a Discount Cash 98,000 Discount on Bonds 2,000 Bonds Payable Issued $100,000, 12%, 10 yrs bonds at 98 100,000 Bond Interest Expense 6,100 Discount on Bonds 100 Cash 6000 Paid semiannual interest on the $100,000, 12%, 10 yr bonds ($100,000 * 12% * 1/2 yr) and amor[zed the bond discount (2,000/10yrs *1/2 yrs) Bond Interest Expense Discount on Bonds Bond Interest...
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This note was uploaded on 01/29/2014 for the course ACC 221 taught by Professor Julieancius during the Spring '12 term at Wisc La Crosse.

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