I need help on this question. I have an idea on how to do it but i'm not sure if I did it right.
On January 1st,2010, Summer, Inc. issues $100,000,9% bonds at par value. The bonds are issued at 103%. The bonds mature in 10 years and interest is paid semiannually. Prepare the following journal entry to record the issuance of the bonds.
On January 1st,2010, Summer, Inc. issues $100,000,9% bonds at par value. The bonds are issued at 103%. The bonds mature in 10 years and interest is paid semiannually. Prepare the following journal entry to record the issuance of the bonds.