On 01-01-18, O issued $8,000,000 of its 4%,6-year callable term bonds dated 01-01-18.The bonds pay interest every July01 and January 01 and mature on01-01-24. O can call in the bonds any timeafter 01-01-21 at 103 plus interest. At thetime O issued the bonds, similar bondspaid 4%. Upon issuing the bonds, Oincurred and paid $75,000 of bondissuance costs. O uses the effective-interestmethod to amortize any bond discount orpremium. O prepares AJES only as of everyDecember 31. On 03-01-21, G called in$4,000,000 of the bonds at the call price of103 plus interest. Prepare the entries Oshould make on:а. 01-01-185. 12-31-18С. 03-01-21d. 07-01-21е. 12-31-21

On 01-01-18, O issued $8,000,000 of its 4%, 6-year callable term bonds dated 01-01-18. The bonds pay interest every July 01 and January 01 and mature on 01-01-24. O can call in the bonds any time after 01-01-21 at 103 plus interest. At the time O issued the bonds, similar bonds paid 4%. Upon issuing the bonds, O incurred and paid $75,000 of bond

On 01-01-18, O issued $8,000,000 of its 4%, 6-year callable term bonds dated 01-01-18. The bonds pay interest every July 01 and January 01 and mature on 01-01-24. O can call in the bonds any time after 01-01-21 at 103 plus interest. At the time O issued the bonds, similar bonds paid 4%. Upon issuing the bonds, O incurred and paid $75,000 of bond

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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