What account would be debited (1), what account would be credit (2), and what amount would be paid to record the journal entry for each interest payment based on a $100,000 five-year, 12% bond and the bond was issued at $103,769 (12%) and interest is paid semiannually? JOURNAL Page 25 DATE DESCRIPTION P.REF. DEBIT CREDIT (1) ? (2) ? (1) Interest Expense debit $6,000, and (2) Cash credit $6,000 (1) Interest Expense debit $12,000 and (2) Cash credit $12,000 (1) Cash debit $12,000 and (2) Interest Expense credit $12,000 (1) Cash debit $6,000, and (2) Interest Expense credit $6,000

What account would be debited (1), what account would be credit (2), and what amount would be paid to record the journal entry for each interest payment based on a $100,000 five-year, 12% bond and the bond was issued at $103,769 (12%) and interest is paid semiannually? JOURNAL Page 25 DATE DESCRIPTION P.REF. DEBIT CREDIT (1) ? (2) ? (1) Interest Expense debit $6,000, and (2) Cash credit $6,000 (1) Interest Expense debit $12,000 and (2) Cash credit $12,000 (1) Cash debit $12,000 and (2) Interest Expense credit $12,000 (1) Cash debit $6,000, and (2) Interest Expense credit $6,000

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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