On January 1, 2022, Grouper Company issued $1,600,000 face value, 7%, 10-year bonds at $1,717,754....
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On January 1, 2022, Grouper Company issued $1,600,000 face value, 7%, 10-year bonds at $1,717,754. This price resulted in a 6% effective-interest rate on the bonds, Grouper uses the effective- interest method to amortize bond premium or discount. The bonds pay annual interest on each January 1. Prepare the journal entries to record the following transactions. (Round answers to 0 decimal places, eg. 125. Credit account titles are automatically indented when amount is entered. Do not indent manually.) 1. The issuance of the bonds on January 1, 2022. 2. Accrual of interest and amortization of the premium on December 31, 2022. 3. The payment of interest on January 1, 2023. 4. Accrual of interest and amortization of the premium on December 31, 2023. No. Date Account Titles and Explanation Debit Credit 1. Jan. 1,2022 2. Dec. 31, 2022 3. Jan. 1, 2023 4. Dec. 31, 2023 eTextbook and Media List of Accounts Save for Later Attempts: 0 of 3 used Submit Answer (b) The parts of this question must be completed in order. This part will be available when you complete the part above. (c) The parts of this question must be completed in order. This part will be available when you complete the part above
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