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Heart Science Company has issued three different bonds during 2019. Interest is payable semiannually on...

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Accounting

  1. Heart Science Company has issued three different bonds during 2019. Interest is payable semiannually on each of these bonds.
    1. On January 2, 1019, 1000 8% 5 year, $1,000 bonds dated January 1, 2019, were issued at face value.
    2. On July 1, $800,000, 9%, 5 year bonds dated July 1, 2010 were issued at 102.
    3. On September 1, $200,000, 7%, 5 year bonds dated September 1, 2019 were issued at 98.

REQUIRED:

  • Prepare the journal entry to record each bond transaction at the date of issuance.
  • Prepare the journal entry to record the first interest payment only for the bond issued at face value (a).

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Account Titles and Explanation

Ref

Debit

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