Joseph Company issued $793,000, 13%, 10-year bonds on December 31,2009, for $730,000. Interest is payable semiannually on June 30 andDecember 31. Joseph Company uses the straight-line method toamortize bond premium or discount.

I only need help on finding the discounts on bonds payable forpayment of interest and the discount amortization on june 30,2010

The payment of interest and the discount amortization on June 30,2010. (For multiple debit/credit entries, list amounts from largestto smallest eg 10, 5, 3, 2.)
Date Account/Description Debit Credit
2010
June 30 Bond interest expense ?
Cash 51545
Discounts on bonds payable ?

Question

General Journal
Date	Description	Debit	Credit
a.)
Dec.31	Cash	$Answer	$Answer
	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense	Answer	Answer
	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense	Answer	Answer
	To record issuance of bonds.
b.
Jun.30	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense.	Answer	Answer
	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense.	Answer	Answer
	Cash	Answer	Answer
	To record semiannual interest payment and discount amortization.
c.)
Dec.31	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense	Answer	Answer
	Answer: Cash, Discount on Bonds Payable, Bonds Payable, Bond Interest Expense	Answer	Answer
	Cash	Answer	Answer
	To record semiannual interest payment.

Date	Description	Debit	Credit
01/01


	to record the sale of bonds at a premium (100 3/4 of parvalue)

06/30


	to record the semi-annual interest payment &amortization of discount or premium on bonds

Unlock all answers

Related questions

Weekly leaderboard