On the first day of the fiscal year, a company issues a $2,800,000, 8%, 8-year bond that pays semiannual interest of $112,000 ($2,800,000 x 8% x 2), receiving cash of $2,496,542. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Interest Expense Discount on Bonds Payable Cash

On the first day of the fiscal year, a company issues a $2,800,000, 8%, 8-year bond that pays semiannual interest of $112,000 ($2,800,000 x 8% x 2), receiving cash of $2,496,542. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Interest Expense Discount on Bonds Payable Cash

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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