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Question - The Midway Village is preparing its government-wide financial statements from its fund financial statements. The Midway Village records an outstanding bond liability with a book value of $600,000 at the beginning of the year that requires a principal payment of $30,000 per year. Its records also indicate that it borrowed $95,000 on new bonds during the year. What two journal entries must the Midway Village include in its government-wide financial statement spreadsheet relating to its bond liability?
Financial Statement Analysis and Preparation
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