On January 1, 2013, JetNew Corp. issued $300,000 of 8%, 5-year bonds, with annual interest payments on January 1. The bonds were issued at face value. Note JetNew uses the effective-interest method of amortization.
b. Prepare the journal entry to record the bond's maturity.

Question

On January 1, 2013, JetNew Corp. issued $300,000 of 8%, 5-year bonds, with annual interest payments on January 1. The bonds were issued at face value. Note JetNew uses the effective-interest method of amortization.
  b. Prepare the journal entry to record the bond's maturity.

Quizplus · Accepted Answer

The Answer of On January 1, 2013, JetNew Corp. issued $300,000 of 8%, 5-year bonds, with annual interest payments on January 1. The bonds were issued at face value. Note JetNew uses the effective-interest method of amortization.
  b. Prepare the journal entry to record the bond's maturity.