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BE10-10 Halloway Company has issued three different bonds during 201

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BE10-10 Halloway Company has issued three different bonds during 2011. Interest is payable semiannually on each of these bonds.;1. OnJanuary1,2011,1,000,8%,5-year,$1,000bondsdatedJanuary1,2011,wereissuedatface value.;2. OnJuly1,$800,000,9%,5-yearbondsdatedJuly1,2011,wereissuedat102.;3. OnSeptember1,$200,000,7%,5-yearbondsdatedSeptember1,2011,wereissuedat98.;Prepare the journal entry to record each bond transaction at the date of issuance.;BE10-11 The balance sheet for Lemay Company reports the following information on July 1, 2011.;Long-term liabilities;Bonds payable $1,000,000;Less: Discount on bonds payable 60,000 $940,000;Lemay decides to redeem these bonds at 101 after paying semiannual interest. Prepare the jour- nal entry to record the redemption on July 1, 2011.

 

Paper#31208 | Written in 18-Jul-2015

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