On March 1, 2016, Kimpo Inc. issues $228,000 of bonds from its January 1, 2016 i

Question

On March 1, 2016, Kimpo Inc. issues $228,000 of bonds from its January 1, 2016 issue. The bonds mature in 10 years on December 31, 2025 and are issued at par. The stated rate on the bonds is 6% and interest is paid semi-annually on June 30 and December 31. What journal entry should the company make to record the sale of the bonds on March 1, 2016? Cr Cr What effect does this entry have on the accounting equation? Assets iailitiesEquity What journal entry should the company make on June 30, 2016 to record the first interest payment? Dr Dr Cr

Explanation / Answer

Journal entry :

Effect :

Journal entry :

Effect

Journal entry ;

Effect :

Dr Cash 228000 Cr Bonds payable 228000

Related Questions

Navigate

• Browse (All)
• Browse O
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.