bonds Name: Date: Score: /30 1. Bonds (10 points): On January 1,...
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bonds
Name: Date: Score: /30 1. Bonds (10 points): On January 1, 2020, Jonas Corp. issues 6%, 25-year bonds with a face value of $1,000,000. The bonds were issued at 101 a. What is the carrying value of the bonds at issue? b. Were the bonds issued at a premium or a discount? c. Was the market interest rate higher, lower, or equal to the stated rate? d. Assuming the traditional bond amount, how many physical bond certificates were issued? c. Record the entry for Jonas Corp. upon issuance of the bonds on January 1, 2020. f. Record the year-end entry for Jonas Corp. to record interest expense at December 31, 2020. Assume that Jonas Corp. uses straight-line amortization for any discounts or premiums
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