Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. pina corporation sold $2,650,000,9%, 5-year bonds

Pina Corporation sold $2,650,000,9%, 5-year bonds on January 1, 2022. The bonds were dated January...

90.2K

Verified Solution

Question

Accounting

image
image
image
image
image
Pina Corporation sold $2,650,000,9%, 5-year bonds on January 1, 2022. The bonds were dated January 1, 2022, and pay interest on January 1. Pina Corporation uses the straight-line method to amortize bond premium or discount Your answer is correct Prepare all the necessary journal entries to record the issuance of the bonds and bond interest expense for 2022, assuming that the bonds sold at 106. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Debit Credit Date Account Titles and Explanation Jan. 1 Cash 2809000 2650000 Bonds Payable 159000 Premium on Bonds Payable Dec 20020 Date Debit Credit Account Titles and Explanation Cash 2809000 Jan. 1 2650000 Bonds Payable 159000 Premium on Bonds Payable 206700 Dec 31 Interest Expense 31800 Premium on Bonds Payable 238500 Interest Payable Question 2 of 5

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students