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Johnny's Hamburgers issued 9%, 10-year bonds payable at 85 on December 31, 2018. At December...

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Accounting

Johnny's Hamburgers issued 9%, 10-year bonds payable at 85 on December 31, 2018. At December 31, 2020, Johnny reported the bonds payable as follows:

Johnny's Hamburgers issued 99%, 10-year bonds payable at 85 on December 31, 2018. December 31,

2020, Johnny eported the bonds payable as follows:

Long term liabilities:

Bonds Payable- $300,000

Less: Discount on Bonds Payable:(36,000) $264,000

1. Answer the following questions about Johnny's bonds payable:

a.

What is the maturity value of the bonds?

b.

 What is the carrying amount of the bonds at December 31, 2020?

c.

What is the semiannual cash interest payment on the bonds?

d.

How much interest expense should the company record each year?

2.

Record the June 30, 2020,

semiannual interest payment and amortization of discount.

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