Question

Problem 14-6 Presented below are selected transactions on the books of Bonita Corporation May 1, 2017 Bonds payable with a par value of $915,600, which are dated January 1, 2017, are sold at 105 plus accrued interest. They are coupon bonds, bear interest at 12% (payable annually at January 1), and mature January 1, 2027. (Use interest expense account for accrued interest.) Adjusting entries are made to record the accrued interest on the bonds, and the amortization of the proper amount of premium. (Use straight-line amortization.) Jan. 1, 2018 Interest on the bonds is paid pri Bonds with par value of $366,240 are called at 102 plus accrued interest, and redeemed. (Bond premium is to be amortized only at the end of each year.) Adjusting entries are made to record the accrued interest on the bonds, and the proper amount of premium amortized Prepare journal entries for the transactions above. (Round intermediate calculations to 6 decimal places,e.g. 1.251247 and final answers to O decimal places, e.g. 38,548. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered Do not indent manually.) Aecsunt Titles and Esplanatios Te rocond the interest Te amine the peemim Apr. 1, 2018

Answer 1

-1898100 S3 928 3S192 Premcom on bonds Payable 078 SL 2011 | plautpayable. 1-1107656 Premtum on Bond1.17 31/.17 Tan. Cayh pBond Payb 1076 SL 359 520 b 452 1678- Cah 37711b 12336

enge64 2o18 340S l16 8800-3s9520)-S 31280

107 66 e 366 11 t1o78 Ptami um on bonds payable 898 8o0 3 77496 Pax value 115a6 千37101 s90 e f1393 Premeum, cr'o on Kedem