Bond transaction journal entries

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On the first day of the current fiscal year, $1,500,000 of 10-year, 8% bonds, with interest payable semiannually, were sold for $1,225,000. Present entries to record the following transactions for the current fiscal year:

a) Issuance of the bonds.

b) First semiannual interest payment.

c) Amortization of bond discount for the year, using the straight-line method of amortization

Reference no: EM1356429

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