Prepare entries to record issuance
of bonds, payment of interest,
amortization of premium, and
redemption at maturity.
EL AP Adcock Company issued $year bonds on January at Inter
est is payable annually on January Adcock uses straightline amortization for bond premium or discount.
Instructions
Prepare the journal entries to record the following.
a The issuance of the bonds.
b The accrual of interest and the premium amortization on December
c The payment of interest on January
d The redemption of the bonds at maturity, assuming interest for the last interest period has been paid
and recorded.
