bond transactions at discount premium
For something issued $50,000 of 10-year, 6% bonds payable on jn1 2006, pay interest each jan 1 and July 1 and amortizes discount and premium by the straight line method
How would you journalize bonds and first semiannual interest payments of issue at a price of 105... I'm not grasping how this is done? I changed the numbers around from my problem so that I can get an example and actually do mine myself cause I want to do it... not letting this one stomp me. We have eight lines to fill in for each ex. 8 lines for the price at 105... thanks for the help!! :confused:
it also asked for the issuance at par (maturity) value and at price of 95 but I understood those parts
But another thing it asks WHich bond price results in the most inters expense and explain in detail? That's all... please help?