Super Splash issues $910,000, 7% bonds on January 1, 2021, that mature in 10 years. The market interest rate for bonds of similar risk and maturity is 6%, and the bonds issue for $977,693. Interest is paid semiannually on June 30 and December 31.   2. & 3. Record the issuance of the bonds on January 1, the interest payments on June 30, 2021, and December 31, 2021. (If no journal entry is required for a particular transaction, select "No Journal Entry Required" in the first account field. Round your answers to the nearest dollar amount.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Super Splash issues $910,000, 7% bonds on January 1, 2021, that mature in 10 years. The market interest rate for bonds of similar risk and maturity is 6%, and the bonds issue for $977,693. Interest is paid semiannually on June 30 and December 31.

 

2. & 3. Record the issuance of the bonds on January 1, the interest payments on June 30, 2021, and December 31, 2021. (If no journal entry is required for a particular transaction, select "No Journal Entry Required" in the first account field. Round your answers to the nearest dollar amount.)

 

 

 

 

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