Entries for Issuing and Calling Bonds; Loss Hoover Corp., a wholesaler of music equipment, issued $17,720,000 of 10-year, 11% callable bonds on March 1, 20Y2, at their face amount, with interest payable on March 1 and September 1. The fiscal year of the company is the calendar year. 20Y2 Mar. 1 Issued the bonds for cash at their face amount. Sept. 1 Paid the interest on the bonds. 20Y4 Sept. 1 Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.) If an amount box does not require an entry, leave it blank. Journalize the entries to record the above selected transactions. Issued the bonds for cash at their face amount. Paid the interest on the bonds. Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.)
Entries for Issuing and Calling Bonds; Loss Hoover Corp., a wholesaler of music equipment, issued $17,720,000 of 10-year, 11% callable bonds on March 1, 20Y2, at their face amount, with interest payable on March 1 and September 1. The fiscal year of the company is the calendar year. 20Y2 Mar. 1 Issued the bonds for cash at their face amount. Sept. 1 Paid the interest on the bonds. 20Y4 Sept. 1 Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.) If an amount box does not require an entry, leave it blank. Journalize the entries to record the above selected transactions. Issued the bonds for cash at their face amount. Paid the interest on the bonds. Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.)
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter9: Long-term Liabilities
Section: Chapter Questions
Problem 7MCQ
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Entries for Issuing and Calling Bonds; Loss
Hoover Corp., a wholesaler of music equipment, issued $17,720,000 of 10-year, 11% callable bonds on March 1, 20Y2, at their face amount, with interest payable on March 1 and September 1. The fiscal year of the company is the calendar year.
| 20Y2 | |
| Mar. 1 | Issued the bonds for cash at their face amount. |
| Sept. 1 | Paid the interest on the bonds. |
| 20Y4 | |
| Sept. 1 | Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.) |
If an amount box does not require an entry, leave it blank.
Issued the bonds for cash at their face amount.
Paid the interest on the bonds.
Called the bond issue at 102, the rate provided in the bond indenture. (Omit entry for payment of interest.)
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