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Mahon Corporation issued 1,000 6%, 5-year, $3,333...

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Mahon Corporation issued 1,000 6%, 5-year, $3,333 bonds dated January 1, 2010, at face value. Interest is paid each January 1. (a) Prepare the journal entry to record the sale of these bonds on January 1, 2010. Date Account/Description Debit Credit Jan. 1 Cash ......... Bonds payable .............. (b) Prepare the adjusting journal entry on December 31, 2010, to record interest expense. Date Account/Description Debit Credit Dec. 31 Bond interest expense......... Bond interest payable .......... (c) Prepare the journal entry on January 1, 2011, to record interest paid. Date Account/Description Debit Credit Jan. 1 Bond interest payable........ Cash ...............

 

Paper#12828 | Written in 18-Jul-2015

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