Nicholas Ram Corporation have a $ "bond issue" dated March due in years with an annual interest rate of Interest is payable March and September On August the bond was sold for $ plus accrued interest.
Using the straightline method, prepare the general journal entries for each of the following:
a The issuance of the bond on August
b Payment of the semiannual interest and the amortization of the premium on September
c Accrual of the interest and the amortization of the premium on December
d Payment of the semiannual interest and the amortization of the premium on March
Credit account titles are automatically indented when the amount is entered. Do not indent manually. Do not use dollar signs $ when entering amounts. To see commaformatted numbers reflected in your final answers, you must enter your answers with commas. Round answers to decimal places, eg
Date Account Titles and Explanation
Debit
Credit
Aug.
