accounting question 402645
| On 1 1 2013 Avion, Inc. Sold Bonds with these particulars: | ||||||||
| Face amt. of Bonds | 450,000 | |||||||
| Matures on 1 1 2023, in 10 yrs. | ||||||||
| Stated annual rate ofint. | 7.25% | |||||||
| Effective annual rate of interest | 6.00% | |||||||
| Int. is paid every six months; 6 30, 12 31 | ||||||||
| Req. 1, Assume the effective Interest Method in accounting for these Bonds, build a 10 year amortization table | ||||||||
| Req. 2, Give General Journal entries to record the sale of the bonds, and the 1st 4 interest payments | ||||||||
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