Questi 3 Prepare the journal entry to record the payment of interest on January 1, 2028. (Credit account titles are automatically indentedwhen amount is entered. Do not indent manually. List debit entry before credit entry)Date Account Titles and ExplanationJan.1.2028DebitCredit On January 1, 2027, Blossom Company issued $555,000, 14%, 10-year bonds at face value. Interest is payable annually on January 1.(a)Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount isentered. Do not indent manually. List debit entry before credit entry)(b)Date Account Titles and ExplanationJan.1.2027eTextbook and MediaList of AccountsSave for LaterDebitCreditAttempts: 0 of 5 used Submit AnswerPrepare the journal entry to record the accrual of interest on December 31, 2027. (Credit account titles are automatically indentedwhen amount is entered. Do not indent manually. List debit entry before credit entry)Date Account Titles and ExplanationDec.31,2027DebitCredit

Transaction A: Jan 1, 2027Since the bonds were issued at face value, the cash received by Blossom…

Answered: Prepare the journal entry to record the…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 5PB: Dixon Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1,...

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Edward Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018 and received $480,000. Interest is payable semiannually. The discount is amortized using the straight-line method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. Dec. 31, 2018: entry to record payment of interest to bondholders C. Dec. 31, 2018: entry to record amortization of discount
Volunteer Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018 and received $540,000. Interest is payable annually. The premium is amortized using the straightline method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. June 30, 2019: entry to record payment of interest to bondholders C. June 30, 2019: entry to record amortization of premium D. June 30, 2020: entry to record payment of interest to bondholders E. June 30, 2020: entry to record amortization of premium
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On August 1, 2022, Bramble Corp. issued $482,400, 8%, 10-year bonds at face value. Interest is payable annually on August 1. Bramble’s year-end is December 31. Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Aug. 1 enter an account title to record the issuance of the bonds on August 1 enter a debit amount enter a credit amount enter an account title to record the issuance of the bonds on August 1 enter a debit amount enter a credit amount eTextbook and Media List of Accounts Prepare the journal entry to record the accrual of interest on December 31, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Dec. 31 enter an…
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