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C issued a five percent five year $10,000,000 of bonds on June 1, 2019, interest payable...

C issued a five percent five year $10,000,000 of bonds on June 1, 2019, interest payable each May 31. The market rate of interest was six percent. There were attorney and underwriter’s fees of $110,000 and C incurred additional salary costs of $35,000 relating to the bond issuance. Record the entries for June 1, 2019, December 31, 2019, and May 31, 2020.

6/1/2019                Cash                            9,890,000

                              Bond Issuance costs    110,000

                              Bonds Payable                                    10,000,000

                              Salary Expense            35,000

                              Cash                                                    35,000

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ekkarill92 answered 3 months ago
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