On March 1, 20A, Warner Corporation, a calendar year company, issued 40 of its $1,000, 8%,
five-year bonds at par. The bonds were dated March 1, 20A, and the first interest payment will be on February 28, 20B. The accounting period ends December 31.
Part A: Complete the journal entry grid for each of the following dates (round to the nearest dollar)
Part B: Discuss why an entry is needed on December 31, 20A

Question

On March 1, 20A, Warner Corporation, a calendar year company, issued 40 of its $1,000, 8%,
five-year bonds at par. The bonds were dated March 1, 20A, and the first interest payment will be on February 28, 20B. The accounting period ends December 31.
Part A: Complete the journal entry grid for each of the following dates (round to the nearest dollar)
  Part B: Discuss why an entry is needed on December 31, 20A

Quizplus · Accepted Answer

The Answer of On March 1, 20A, Warner Corporation, a calendar year company, issued 40 of its $1,000, 8%,
five-year bonds at par. The bonds were dated March 1, 20A, and the first interest payment will be on February 28, 20B. The accounting period ends December 31.
Part A: Complete the journal entry grid for each of the following dates (round to the nearest dollar)
  Part B: Discuss why an entry is needed on December 31, 20A

On March 1, 20A, Warner Corporation, a Calendar Year Company