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On January 1, Year 1, Price Co. issued $190,000 of five-year, 6 percent bonds at 96 ½. Interest is payable annually on December 31. The discount is amortized using the straight-line method.
Required
Question 1: Prepare the journal entries to record the bond transactions for Year 1 and Year 2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Financial Statement Analysis and Preparation
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