Carla Vista Co. issues $345,000, 20-year, 9% bonds at 103. Prepare the journal e
ID: 2609321 • Letter: C
Question
Carla Vista Co. issues $345,000, 20-year, 9% bonds at 103. Prepare the journal entry to record the sale of these bonds on June 1, 2017Carla Vista Co. issues $345,000, 20-year, 9% bonds at 103. Prepare the journal entry to record the sale of these bonds on June 1, 2017
* 73%- edugen.wileyplus.com US References b Assuming instead that the above bonds sold for 1... Kimmel, Accounting, 6e Help I System Announcements TOR PRINTER VERSION NEXT Brief Exercise 10-9 Carla Vista Co. issues $345,000, 20-year, 9% bonds at 103, prepare the journal entry to record the sale of these bonds on June 1, 2017. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Accoust Tirles and Explanation Debit Credit Bonds Payable Click if you would like to Show Work for this question: Open Show Work Question Attempts: o of 3 used SAVE FOR LATER SUBMIT ANSWER SUBMIT ANSWER
Explanation / Answer
Solution:
Preparing the Journal Entries to Record the Sale of these Bonds on June 1, 2017:
Date General Journal Debit Credit June 1, 2017 Cash ($345,000 * 1.03) $355,350 Bonds Payable $345,000 Premium on Bonds Payable $10,350