Question

Simko Company issued $600,000, 10-year, 5 percent bonds on January 1, 2015. The bonds were
issued for $580,000. Interest is payable annually on December 31. Using straight-line amortization, prepare journal entries to record ( a ) the bond issuance on January 1, 2015, and ( b ) the payment of interest on December 31, 2015.

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Tagged in
Business
Accounting

Bond/Notes Valuation

Journal and Ledger Balance

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