Recording the Issuance of a New Bond and the Payment of Interest (Straight-Line Amortization)
Wefald Company issued $600.000. 10-year, 10 percent bonds on January 1. 2011. The bonds sold for $580.000. Interest is payable semiannually each June 30 and December 31. Record the sale of the bonds on January 1. 2011. and the payment of interest on June 30. 2011, using straight-line amortization.
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