among among among Among the advantages of hiring family for

. Among the advantages of hiring family for leadership positions in a new company is the fact that:

Solution

1. Journal Entries

Date	Account,title and Explanations	Debit	Credit
May 1	Cash	$900000
	Bonds Payable		$900000
	(to record bond issue)
Nov 1	Interest Expense	$31500
	Cash		$31500
	($900000*7%*6/12)
	(to record the payment of interest)
Dec 31	Interest expense	$10500
	Interest payable		$10500
	($900000*7%*2/12)
	(to record accrued interest for two months)