1. At December 31, 2022, the following balances existed for MICPA Corporation: ...
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Accounting
1.
At December 31, 2022, the following balances existed for MICPA Corporation:
Bonds Payable (6%)
$600,000
Discount on Bonds Payable
50,000
The bonds mature on 12/31/28. Straight-line amortization is used.
If 60% of the bonds are retired at 104 on January 1, 2025, what is the gain or loss on early extinguishment?
Answer
$_______________
2.
On April 1, 2020, Sydney Company issued 300 $1,000 bonds at 98. Each bond was issued with two detachable stock warrants. Shortly after issuance, the bonds were selling at 96, and the warrants were selling for $50 each.
Instructions:
Prepare the entry to record the issuance of the bonds and warrant
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