On June 30, Jameson Company issued $2,500,000 of 10-year, 8% bonds, dated June 30, for $2,580,000. Required: Make journal entries to record the following transactions: a. Issuance of bonds b. Payment of first semiannual interest on December 31 (record separate entry from premium amortization) Amortization by straight-line method of bond premium on December 31.

On June 30, Jameson Company issued $2,500,000 of 10-year, 8% bonds, dated June 30, for $2,580,000. Required: Make journal entries to record the following transactions: a. Issuance of bonds b. Payment of first semiannual interest on December 31 (record separate entry from premium amortization) Amortization by straight-line method of bond premium on December 31.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter22: Corporations: Bonds

Section: Chapter Questions

Problem 2CE

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