Salt Foods purchases forty $1,000, 7%, 10-year bonds issued by Pretzelmania, Incorporated, for $37,282 on...
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Accounting
Salt Foods purchases forty $1,000, 7%, 10-year bonds issued by Pretzelmania, Incorporated, for $37,282 on January 1. The market interest rate for bonds of similar risk and maturity is 8%. Salt Foods receives interest semiannually on June 30 and December 31.
1. & 2. Record the necessary entries regarding the bonds. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field. Round your answers to the nearest whole number.)
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