Amortization Schedule | |||||
Period | Credit cash | Debit interest expense | Credit bond discount | Closing bal. | |
06/01/2016 | 0 | $0 | $2,631,300 | ||
05/31/2017 | $240,000 | $263,130 | $23,130 | $2,654,430 | |
05/31/2018 | $240,000 | $265,443 | $25,443 | $2,679,873 | |
05/31/2019 | $240,000 | $267,987 | $27,987 | $2,707,860 | |
05/31/2020 | $240,000 | $270,786 | $30,786 | $2,738,646 | |
05/31/2021 | $240,000 | $273,865 | $33,865 | $2,772,511 | |
05/31/2022 | $240,000 | $277,251 | $37,251 | $2,809,762 | |
05/31/2023 | $240,000 | $280,976 | $40,976 | $2,850,738 | |
05/31/2024 | $240,000 | $285,074 | $45,074 | $2,895,812 | |
05/31/2025 | $240,000 | $289,581 | $49,581 | $2,945,393 | |
05/31/2026 | $240,000 | $294,606 | $54,606 | $3,000,000 | |
Entry to be made on 31 Dec. 2018 | |||||
Interest expense | $156,326 | (267987*7/12) | |||
Interest payable | $140,000 | (240,000*7/12) | |||
Bond discount | $16,326 | ||||
(adjusting entry made on 31 Dec. 18) | |||||
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