On June 30, 2023, Blossom Limited issued $2 million of 20-year, 10% bonds for $2,184,018,...
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On June 30, 2023, Blossom Limited issued $2 million of 20-year, 10% bonds for $2,184,018, which provides a yield of 9%. The company uses the effective interest method to amortize any bond premium or discount. The bonds pay semi-annual interest on June 30 and December 31. Prepare the journal entries to record the following transactions: 1. The issuance of the bonds on June 30, 2023 2. The payment of interest and the amortization of the premium on December 31, 2023 3. The payment of interest and the amortization of the premium on June 30, 2024 4. The payment of interest and the amortization of the premium on December 31, 2024
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