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Eddi Din [679]
4 years ago
14

ABC Company issues a bond with a face value of $100,000 at face amount on January 1. ABC prepares financial statements only at D

ecember 31, so no adjusting entries are made during the year to accrue interest. If the bond carries a stated interest rate of 6% payable in cash on December 31 of each year, the journal entry to record the first bond interest payment includes ______.
Business
1 answer:
Travka [436]4 years ago
5 0

Answer:

Debit to interest expense of $6,000

Credit to cash of $6,000

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Duke Company's records show the following account balances at December 31, 2021:
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Explanation:

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Partially correct answer iconYour answer is partially correct. This information relates to Windsor Co.
I am Lyosha [343]

1.  Dr Merchandise inventory    25100

                Cr  Accounts payable       25100

        (To record purchase of inventory on account)

2. Dr Merchandise inventory   530

               Cr  Cash                          530

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3. No entry

4.  Dr Accounts payable   3600

             Cr  Merchandise inventory    3600

       ( To record purchase return)

5.  Dr Accounts payable   ( 25100-3600)  21500

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