On January 1 of the current year, a company issued bonds dated January 1 with a par value of $600,000. The bonds mature in 5 years. The contract rate is 8%, and interest is paid semiannually on June 30 and December 31. The bonds are sold for $555,844. The company uses the straight-line method of amortization.
Required:
(a) Prepare the general journal entry to record the issuance of the bonds on January 1 of the currentyear.
(b) Prepare the journal entry to record the first interest payment on June 30 of the current year.

Which of the following is not an example of one of the four mail advantages of prices on a free market economy

The following pertains to smoke, inc.’s investment in debt securities: on december 31, year 3, smoke reclassified a security acquired during the year for $70,000. it had a $50,000 fair value when it was reclassified from trading to available-for-sale. an available-for-sale security costing $75,000, written down to $30,000 in year 2 because of an other-than-temporary impairment of fair value, had a $60,000 fair value on december 31, year 3. what is the net effect of the above items on smoke’s net income for the year ended december 31, year 3?

Select the correct answer. which is a benefit of planning for your future career? a.being less prepared after high school. b.having higher tuition in college. c.earning college credits in high school. d.ruining your chances of having a successful career.