On January 1, Buy-New Online issued $500,000, 10%, 10-year bonds to lenders at the contract rate. Interest is to be paid semiannually on July 1 and January 1. Journalize the following entries:
a. Issued the bonds.
b. Paid first semiannual interest payment.
c. Retired the bonds at maturity.

Question

Quizplus · Accepted Answer

The Answer of On January 1, Buy-New Online issued $500,000, 10%, 10-year bonds to lenders at the contract rate. Interest is to be paid semiannually on July 1 and January 1. Journalize the following entries:
a. Issued the bonds.
b. Paid first semiannual interest payment.
c. Retired the bonds at maturity.

On January 1, Buy-New Online Issued $500,000, 10%, 10-Year Bonds