On the first day the fiscal year, a company issue a $437,000, 7%, 10years bond that pays semiannual interest of $15,295 ($437,000 x 7% x 1/2), receiving cash of $458,900. Journalize the entry for the first interest payment and amortization of premium using the straight-in line method. If an amount box does not require an entry, leave in blank. ____________ _____ _______ _____________ ______

On the first day the fiscal year, a company issue a $437,000, 7%, 10years bond that pays semiannual interest of $15,295 ($437,000 x 7% x 1/2), receiving cash of $458,900. Journalize the entry for the first interest payment and amortization of premium using the straight-in line method. If an amount box does not require an entry, leave in blank. __________ _ _ ___

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 9MC: On April 1 a company sells a 5-year, $60,000 bond with a 7% stated interest rate. The market...

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