On January 1, 2021, Splash City issues $310,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. Assuming the market interest rate on the issue date is 10%, the bonds will issue at $283,405. 2. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.)
On January 1, 2021, Splash City issues $310,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. Assuming the market interest rate on the issue date is 10%, the bonds will issue at $283,405. 2. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.)
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 5PA: Volunteer Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July...
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![Required information
(The following information applies to the questions displayed below.]
On January 1, 2021, Splash City issues $310,000 of 9% bonds, due in 20 years, with interest payable semiannually on June
30 and December 31 each year.
Assuming the market interest rate on the issue date is 10%, the bonds will issue at $283,405.
2. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31,
2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round
your intermediate and final answers to the nearest whole dollar.)
View transaction list
Journal entry worksheet
1
2
Record the bond issue.
Note: Enter debits before credits.
Date
General Journal
Debit
Credit
January 01, 2021](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe514a63d-d332-4e04-b2da-fe66eab01227%2Fe47eb7d1-4e7c-4c7a-b8ce-3c5ce57dd307%2F8ul8ac_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
(The following information applies to the questions displayed below.]
On January 1, 2021, Splash City issues $310,000 of 9% bonds, due in 20 years, with interest payable semiannually on June
30 and December 31 each year.
Assuming the market interest rate on the issue date is 10%, the bonds will issue at $283,405.
2. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31,
2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round
your intermediate and final answers to the nearest whole dollar.)
View transaction list
Journal entry worksheet
1
2
Record the bond issue.
Note: Enter debits before credits.
Date
General Journal
Debit
Credit
January 01, 2021
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