Paulson Company issues 10%, four-year bonds, on January 1 of this year, with a par value of $98,000 and semiannual interestpayments.Carrying Value$ 91,30792,14492,981Semiannual Period-EndUnamortized Discount(0) January 1, issuance(1) June 30, first payment(2) December 31, second payment$ 6,6935,8565,019Use the above straight-line bond amortization table and prepare journal entries for the following.(a) The issuance of bonds on January 1.(b) The first interest payment on June 30.(c) The second interest payment on December 31.View transaction listJournal entry worksheet123>Record the issuance of the bonds on January 1.Note: Enter debits before credits.DateGeneral JournalDebitCreditJanuary 01Record entryClear entryView general journal

Semiannual Interest payment = Par value of bonds x rate of interest x no. of months/12 = $98000 x…

Answered: Paulson Company issues 10%, four-year…

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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Paulson Company issues 6%, four-year bonds, on January 1 of this year, with a par value of $100,000 and semiannual interest payments. Semiannual Period-End Unamortized Discount Carrying Value (0) January 1, issuance $ 6,733 $ 93,267 (1) June 30, first payment 5,891 94,109 (2) December 31, second payment 5,049 94,951 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30. (c) The second interest payment on December 31. 1 Record the issuance of the bonds on January 1. 2 Record the first interest payment on June 30. 3 Record the second interest payment on December 31.
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yas.8
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Paulson Company issues 6%, four-year bonds, on January 1 of this year, with a par value of $90,000 and semiannual interest payments. Semiannual Period-End (0) January 1, issuance (1) June 30, first payment Carrying Value $ 83,467 84,284 (2) December 31, second payment 85,101 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30.. (c) The second interest payment on December 31. View transaction list Journal entry worksheet < 1 2 3 Date January 01 Record the issuance of the bonds on January 1. Note: Enter debits before credits. Unamortized Discount $ 6,533 5,716 4,899 General Journal Debit Credit
There are 3 parts A, B, and C
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