On the first day of the fiscal year a company issues a 10000

On the first day of the fiscal year, a company issues a $1,000,000, 896, five-year bond that pays semiannual interest of $40,000 ($1,000,000 x 896 x ½), receiving cash of S951,590. Journalize the bond issuance on January 1. Refer to the Chart of Accounts for exact wording of account titles

Journal entry :

Journal	Account equation
Description	Post ref	Debit	credit	Assets	Liabilities	Equity
Cash		951590		951590
Discount on bonds payable		48410			-48410
Bonds payable			1000000		1000000

On the first day of the fiscal year, a company issues a $1,000,000, 896, five-year bond that pays semiannual interest of $40,000 ($1,000,000 x 896 x ½), receiv

On the first day of the fiscal year a company issues a 10000

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