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QS 10-8 (Algo) Journalizing premium bond issuance LO P3 Garcia Company issues 12.0%, 15-year bonds with a par value of $370,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10.0%, which implies a selling price of 117 1/4. Prepare the journal entry for the issuance of these bonds for cash on January 1. 51 Answer is complete but not entirely correct. No Date General Journal Debit Credit January 01 Cash 433,825 Bonds payable Premium on bonds payable 63,825 370,000

QS 10-8 (Algo) Journalizing premium bond issuance LO P3 Garcia Company issues 12.0%, 15-year bonds with a par value of $370,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10.0%, which implies a selling price of 117 1/4. Prepare the journal entry for the issuance of these bonds for cash on January 1. 51 Answer is complete but not entirely correct. No Date General Journal Debit Credit January 01 Cash 433,825 Bonds payable Premium on bonds payable 63,825 370,000

Cornerstones of Financial Accounting
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 64BE: Brief Exercise (Appendix 9A) Bond Issue Price On January 1, 2020, Ruby Inc. issued 3,000 $1,000 par...
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QS 10-8 (Algo) Journalizing premium bond issuance LO P3 Garcia Company issues 12.0%, 15-year bonds with a par value of $370,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10.0%, which implies a selling price of 117 1/4. Prepare the journal entry for the issuance of these bonds for cash on January 1. 51 X Answer is complete but not entirely correct. Date General Journal Debit Credit No January 01 Cash 433,825 1 Bonds payable 63.825 X Premium on bonds payable 370,000 8 < Prev 2 of 7 Next > 9:21 A ere to search a 71°F 99+ 9/29/20 40 TH0 A 144 prt sc delete home end 96 & 8 um %3D backspace lock T Y U 7\ home F G H. L enter pause MI 1 shit HP Pavilion Me time. Now playin
Transcribed Image Text:QS 10-8 (Algo) Journalizing premium bond issuance LO P3 Garcia Company issues 12.0%, 15-year bonds with a par value of $370,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 10.0%, which implies a selling price of 117 1/4. Prepare the journal entry for the issuance of these bonds for cash on January 1. 51 X Answer is complete but not entirely correct. Date General Journal Debit Credit No January 01 Cash 433,825 1 Bonds payable 63.825 X Premium on bonds payable 370,000 8 < Prev 2 of 7 Next > 9:21 A ere to search a 71°F 99+ 9/29/20 40 TH0 A 144 prt sc delete home end 96 & 8 um %3D backspace lock T Y U 7\ home F G H. L enter pause MI 1 shit HP Pavilion Me time. Now playin
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