Zapzap Corporation issued $4,000,000 in five-year, 4% bonds on August 1, 2019. Interest is to be...

Zapzap Corporation issued $4,000,000 in five-year, 4% bonds on August 1, 2019. Interest is to be paid semi-annually on Feb 1 and August 1. The bonds were sold to yield 6% effective annual interest. Pine Corporation has a calendar year-end and follows IFRS. Instructions: Prepare the entries required for these bonds at • December 31, 2019(year end) • February 1, 2020 • August 1, 2020 when the interest was paid, and the entire issue was retired early for $4,350,000 plus interest.

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The answer has been presented in the supporting sheet. For detailed answer refer to the supporting sheet.

ekkarill92 answered 1 year ago

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