On November 1, 20x4, Madison Corp. issued ₱800,00 of its 10-year, 8% term bonds dated October 1, 20x4. The bonds were sold to yield 10%, with total proceeds of ₱700,00 plus accrued interest. Interest is paid every April 1 and October 1. What amount should Madison report for interest payable in its December 31, 20x4 balance sheet?

On November 1, 20x4, Madison Corp. issued ₱800,00 of its 10-year, 8% term bonds dated October 1, 20x4. The bonds were sold to yield 10%, with total proceeds of ₱700,00 plus accrued interest. Interest is paid every April 1 and October 1. What amount should Madison report for interest payable in its December 31, 20x4 balance sheet?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 9EA: On Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $1,000 for $104,000. The...

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