Let say bank A issues $1,000,000 of 8% bonds on June 30, 2020 for $1,233,836(I...
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Accounting
Let say bank A issues $1,000,000 of 8% bonds on June 30, 2020 for $1,233,836(I did the work to save time, but if you check over my work would be great). The bond will mature June 30, 2030 and interest is paid semiannually on June 30 and December 31. The market rate of similar bonds are 5%.
Would I need to do anything else beside recording the issuance of the bond on June 30, 2020? Like would there be interest expense or decrease in bond payable on June 30, 2020?
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