ACC 291 WileyPLUS Week Three Assignment Exercise E10-18

Feb 3rd, 2012
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ACC 291 WileyPLUS Week Three Assignment Exercise E10-18 Hrabik Corporation issued $600,000, 9%, 10-year bonds on January 1, 2011, for $562,613. This price resulted in an effective-interest rate of 10% on the bonds. Interest is payable semiannually on July 1 and January 1. Hrabik uses the effective-interest method to amortize bond premium or discount. Prepare the journal entries to record the following. (Round answers to 0 decimal places, e.g. 125. Use rounded amounts for future computations.)

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