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Federal Semiconductors issued 11% bonds, dated January 1, with a face amount of $830 milion on January 1, 2021. The bonds sol
Date June 30, 2021 General Jour Interest expense Discount on bonds payable Doble 46,053472 Credit Cash 403,472 45,650,000 Dec
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Answer #1
No Date General Journal Debit Credit
5 Dec 31, 2022 Interest Expense $46,130,542
Discount on bonds payable $480,542
Cash $45,650,000
6 Dec 31, 2022 Fair value adjustment $13,322,903
Gain on bonds payable (unrealized, OCI) $13,322,903
($768,389,020 + $453,341 + $480,542 - $756,000,000)
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