Pharoah Company issued $760,000, 8%, 10-year bonds on December 31, 2021, for $690,000. Interest is payable annually on December 31. Pharoah Company uses the straight-line method to amortize bond premium or discount. (a) Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually) Date Account Titles and Explanation Dec. 31. 2021 Debit Credit

Pharoah Company issued $760,000, 8%, 10-year bonds on December 31, 2021, for $690,000. Interest is payable annually on December 31. Pharoah Company uses the straight-line method to amortize bond premium or discount. (a) Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually) Date Account Titles and Explanation Dec. 31. 2021 Debit Credit

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 5PB: Dixon Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1,...

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