kris22elizondop9v1bb
kris22elizondop9v1bb
27.12.2019 • 
Business

The following transactions were completed by montague inc., whose fiscal year is the calendar year: year 1 july 1. issued $55,000,000 of 10-year, 9% callable bonds dated july 1, year 1, at a market (effective) rate of 7%, receiving cash of $62,817,040. interest is payable semiannually on december 31 and june 30. dec. 31. paid the semiannual interest on the bonds. the bond discount amortization of $390,852 is combined with the semiannual interest payment. 31. closed the interest expense account. year 2 june 30. paid the semiannual interest on the bonds. the bond discount amortization of $390,852 is combined with the semiannual interest payment.. dec. 31. paid the semiannual interest on the bonds. the bond discount amortization of $390,852 is combined with the semiannual interest payment. 31. closed the interest expense account. year 3 june 30. recorded the redemption of the bonds, which were called at 103. the balance in the bond premium account is $6,253,632 after payment of interest and amortization of premium have been recorded. (record the redemption only.) 1. journalize the entries to record the foregoing transactions. for a compound transaction, if an amount box does not require an entry, leave it blank. when required, round amounts to the nearest dollar.

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